Composite Index ended lower, giving up 8.33 points to 887.8 points, or (-0.9%). Apparently, the KLCI remains in the down trend channel, market sentiment is still bearish. Mean while, 10 days Bollinger band opened 41% with the KLCI situated below the middle, suggesting that the KLCI is likely to stay bearish. (Study A)

Support for KLCI remains at the T2 dynamic support and the 880 Fibonacci level. T1 would serve as the dynamic resistance and the 10 days Bollinger middle band also serves as the dynamic resistance for KLCI.

As indicated by B, total market volume has increased 19.4% on Thursday, standing at 3.45 million lots. The total market volume on Thursday has breached above the 40 days VMA level suggesting the overall market participation has became more active. (Study B)

%D has entered the short-term bearish zone marginally, confirming the %K signal which was triggered yesterday. If we see these two lines remains below the 30% level, market sentiment for the short-term will remain bearish. (Study C)

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