On Thursday, the Composite Index eased 3.82 points, closing at 894.98 points. As shown on the chart above, the KLCI is still resisted by the 900 psychological level. At the moment, support for KLCI is at the 10 days Bollinger middle band as well as the T1 dynamic support line. (Study A)

As indicated by B, WinChart RSI remained below the 50% in the neutral region. As a result, it is suggesting that the market sentiment for the mid-term is mixed with a slight negative bias. (Study B)

On Thursday, %K of the Stochastic has dropped below the 70% level signaling that the short-term bullish sentiment might come to an end. However, since the %D is still above the 70% level, the %K signal is not confirmed. (Study C)

Bollinger band width remained almost the same as yesterday, thus market direction for KLCI is still unclear.

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