(M) Sdn Bhd 

KLCI broke below the T2 dynamic support by margin on Monday, while rebounded at the 900 psychological support level. If the KLCI could return above the T2 dynamic support, the uptrend channel could still be valid. At the moment, resistance for the KLCI remains at the 914 level while the important support level is still at the 900 level. (Study A)

Mean while, 10 days Bollinger band width opened 9% with the KLCI situated below the middle band, outlook for the KLCI is now bearish. Nonetheless, if the KLCI could support above the 900 level, a trading range between the 900 and 914 is more likely.

Total market volume on Monday stood at 583 million shares, a 1.8% higher than last Friday's total market volume. Volume at this level is still healthy for it provides the continuity of the market liquidity. Provided we see the volume trading above the 40 days VMA level, market outlook should not be too pessimistic. (Study B)

MACD line crossed below the trigger line last Friday, triggered a “bearish” signal for the KLCI. As a result, the histogram is now below the zero level. If the histogram continue to decline, it would suggest that the bear is getting stronger. (Study C)

Straits Index (M) Sdn Bhd
No. 16, Jalan LP 1A / 5, Lestari Perdana,
43300 Seri Kembangan, Selangor
Tel: (03) 8941 6828     Fax: (03) 8941 9828     Email: info@straitsindex.com
© Copyright 1997-2006 海峡指数版权所有.All rights reserved