June 4, 2026. The crude palm oil (FCPO) futures market showed a strong surge on Wednesday, with prices surging by MYR142 to close at MYR4,677 yesterday.
This performance saw the commodity price successfully surpass the psychological resistance level of MYR4,600 after opening strong at the beginning of the session. The bullish candlestick pattern that formed reflects the presence of new buying momentum in the market.
Highlights
Current Closing Price: MYR4,677 (Up MYR142)
RHB INVESTMENT BERHAD Recommendation: Maintain Short
Nearby Resistance Level: MYR4,700
Key Support Level: MYR4,390
Technical Sentiment: Critical Boundary; downtrend still holds as long as below MYR4,700
Although the market is showing significant signs of recovery, RHB technical analysts assess that the broader bearish structure of the market is still intact.
From a trading strategy perspective, the current price zone is considered very critical. As long as FCPO does not close above the MYR4,700 resistance line, the market as a whole is still in favor of the bearish outlook.
Therefore, investors are advised not to rush to change market strategies until the market gives a clearer direction signal.
Price Focus
Test MYR4,700 Level: The ability of the price to break through or bounce back from this critical resistance level.
Momentum Change: If the price closes clearly above MYR4,700, it will trigger a trend change signal to the upside.
SMA Line Position: The price position relative to the 50-day and 200-day moving averages (SMAs) as a benchmark for the strength of the long-term trend.
Analysts maintain an overall negative trading bias, but put the market on a cautious mode. The main catalyst that will move the price next is whether FCPO can break the MYR4,700 barrier. Investors and active traders should closely monitor the stop loss level set at MYR4,700 to control capital risk.
