Composite Index ended lower, losing 1.86 points to 894.33 points. As shown on the chart above, KLCI merely supported by the T3 dynamic support line. If the KLCI can rebound from the T3 line, a descending wedge chart pattern would be forming; or else, KLCI next support level will be at the T2 support, which will form a down trend channel.

Mean while, 10 days Bollinger band width continue expanding another 18%; therefore, the down side risk for KLCI remains intact. (Study A)

As indicated by the B circle, both lines of the Stochastic remains below the 30% level, short-term bearish zone. Therefore, short-term market sentiment for KLCI remains bearish. (Study B)

WinChart RSI remains in the mid-term bearish zone, but however, as indicated by C, a class A bullish divergence signal is formed. Although there is no confirmation to this signal, this signal suggests a rebound is likely to happen for it implies that the current level could be the temporary lowest level for KLCI. Nonetheless, at the moment, the most important aspect would be the support at T3. (Study C)

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