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On Wednesday, the Composite Index closed higher, gaining 2.79 points to 909.77 points. As shown by the arrow A, the KLCI opened at the 10 days Bollinger middle band while managed to closed above it. However, since the Bollinger band width is still contracting, it suggests that the direction for KLCI is still unclear. Nonetheless, with the KLCI now above the middle now, immediate outlook is on the positive bias. (Study A)

On the other hand, the KLCI remained in the up trend channel with the T2 as the dynamic support. The immediate hurdle for the KLCI is still at the 914 resistance level while the 900 psychological support remains as the important support.

Total market volume on Wednesday stood at 6.64 million shares, a 3.8% increased from yesterday's total market volume. This suggests that the market is still active with good continuity. The active market participation is crucial for it is the most important factor to support the KLCI if it were to rally in the up trend channel. With the volume standing above the 40 days VMA (Volume moving average) level, market participation is relatively healthy. (Study B)

In line with the uptrend channel, the MACD line advanced as well. As a result, the histogram has formed a round bottom signal, suggesting that the technical correction has now ended. Provided that the MACD continue moving higher, outlook for the KLCI remains bullish. (Study C)

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