Tokyo futures end up, resistance at 340 yen (Mar 1)

TOKYO, March 1 (Reuters) – Key TOCOM rubber futures ended slightly higher on Thursday with strong oil prices and the yen’s decline providing support, but heavy resistance was seen at around 340 yen.

The key Tokyo Commodity Exchange rubber contract for August delivery ended up 3.3 yen at 339.2 yen after rising as high as 340.4 yen.

“The Thai market intervention scheme and falling supply limited falls, but the market needs fresh factors to climb above the current resistance of around 340 yen,” said Naoki Asami, chief broker at trading house Kanetsu.

Reuters market analyst for commodities and energy technicals Wang Tao expects TOCOM sixth month rubber to end the current rebound around 358.30 yen per kg over the next four weeks and retrace to 300 yen thereafter.

The most active Shanghai rubber contract for May delivery fell 1.3 percent to close at 29,035 yuan per tonne.

The front-month April rubber contract on the SICOM in Singapore was last traded at 382 U.S. cents per kg, up 1 cent.

Industry data showed on Thursday car sales in Japan surged 29.5 percent in February as government efforts to revive domestic sales and replenished inventories helped customers return to dealerships in the world’s third-largest car market.

Japan’s Nikkei average fell and failed to hold 9,800 for the second day in a row, as domestic investors locked in profits after the index rallied more than 10 percent last month and posted its best February performance in two decades.

(Reporting by Yuko Inoue; Editing by Sugita Katyal)

Source: http://sg.finance.yahoo.com/news/rubber-tokyo-futures-end-resistance-091609672.html