Although the Composite Index had an intra-day high of 901.59, at the closing, the KLCI retreated below the 900 psychological level, gaining only 1.26 points to 898.27 points. As shown on the chart above, the KLCI remained resisted by the 900 psychological resistance level as well s the 899.73 WinChart automatic Fibonacci retracement line. (Study A)

On the shorter term indicator wise, we see the %K of the Stochastic on Tuesday remained in the bullish region with the %D merely above the 70% level. As long as we see these two lines staying above the 70% level, market outlook for the short-term would like bullish bias. (Study B)

Mean while, the MACD had triggered another buy signal last Friday, and since then, the histogram has been ticking higher. If we see the histogram continue ticking higher, it suggests that the bullish signal is still in tact; while on the other hand, if we see a down tick of the histogram, it shall suggests that the bullish signal is getting weaker. (Study C)

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