Composite Index ended strongly on Thursday's trading with a gain of 7.99 points; for the day, KLCI ended at 921.06 point. Current resistance for KLCI is at the 921.56 point of the WinChart Automatic Fibonacci Retracement line, while support for KLCI falls on the 909.58 WinChart Automatic Fibonacci Retracement line. (Study A)

Total market volume for the day stood at 6.77 million lots, standing higher than the 40 days VMA level. This shows that the market participation is still very active. (Study B)

As shown in the chart above, MACD line continued moving higher. While the long term market sentiment is still positive, MACD histogram has not show any signs of "Round--top" yet. If we see a "Round-top"signal from the histogram, we would expect a technical correction for KLCI. (Study C)

Copyright 1997-2005 Straits Index (M) Sdn Bhd, All Rights Reserved