Composite Index technical rebound continued on Wednesday, gaining 5.2 points to 891.67 points. As indicated on A, KLCI was precisely resisted by the 10 days Bollinger middle band dynamic resistance. The next resistance for KLCI would be the T1 downtrend resistance line. (Study A)

Total market volume on Wednesday has breached above the 40 days VMA level with 3.147 million lots. This suggests that the participation of the market has improved, and it will greatly promote the liquidity of the market as a whole. Most importantly, a relatively stronger volume is absolutely crucial if the KLCI were to break out away from the down trend channel. (Study B)

WinChart RSI continued ticking higher confirming the validity of the class A bullish divergence signal. Nonetheless, WinChart RSI is currently situated in the neutral zone. If the WinChart can break above the 50% level, market sentiment would be interpreted as neutral with a slight positive bias. (Study C)

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