In January palm oil looks positive due to many reason but main concern is weather outlooks which is very worst in some big plantations estate specially Saba,kaula marudu which is mush effect their water level is more then 8f in field area.operation sector is more effected due to wetting in field, supply chain is totally disturb supply is much tight in December export figures is looking down but actually is not contract going to shift for next month.
Logically price looks more high and stay above 5300RM and more important India duty cut is big supporting element
Watchable factors in January:
- Physical month movement looks above 5000Rm
- Demand for Central Asia and it will be
- Shipping cost
- January production figure
- Relevant vego oil statistic
- Dont ignore mid January buying opportunity
- Ramzan buying
- Strong currency
- Reference price
