Composite Index Daily Technical Analysis, 24/06/2005.

10 days Bollinger Bands contracted another 42%, thus KLCI continued consolidation. On the bright side, KLCI unmistakably closed at the Bollinger Middle Band, therefore, it signifies that the Bollinger Middle Band is a currently dynamic support. At the moment, resistance for KLCI remains at R1. (Study A)

Total market volume on Friday has retreated 18.5%, stationing below the 40 days VMA. Traditionally, it is rather normal to see a decreasing volume during a consolidation phase. (Study B) 

As noted in C, MACD line has a first sign of reverse direction. If MACD line crosses below the trigger line, it will trigger a Sell signal. Nonetheless, MACD line, at the moment, is still positioning above the zero line, therefore, the overall market sentiment for KLCI remains positive. (Study C)

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