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On Wednesday, the Composite Index ended marginally lower, losing 1.68 points to 913.53. As shown on the chart above, the KLCI is still supported by the 913 Fibonacci retracement level, despite the intra-day break down. Therefore, immediate support is still at the 913 level while the resistance is at the 10 days Bollinger middle bands dynamic resistance as well as the 31 EMA dynamic resistance. (Study A)

Total market volume on Wednesday stood at 509 million shares, a 4.1% lower then yesterday's total market volume. As indicated by B, the volume is still below the 40 days VMA (volume moving average) level, suggesting that the market participation was still relatively inactive. Nevertheless, if the KLCI was to rebound and break above the resistance, a higher volume above the 40 days is imperative. (Study B)

%D of the Stochastic remained below the 10% level, which is the over-sold region. This suggests that the KLCI was indeed temporary over-sold. Therefore, a technical rebound is due to take place. However, if after the rebound and the Stochastic is still below the the 30% level, market sentiment for the short-term is still bearish bias. (Study C)

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