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On Wednesday, the Composite Index opened with a break-away gap at 931.92, and thereafter successfully breakout from the previous resistance at 931 level. Therefore, the immediate support is not at 931 level as well as the 14days EMA (Exponential Moving Average). (Study A)

As indicated by A1, the Composite Index next resistance is at T2 dynamic resistance of the up trend channel. Therefore, there is a likely hood that the Composite Index would have a technical correction. Nevertheless, if the Composite Index could still be supported by the multiple exponential moving average after the possible correction, the overall market direction would still be on the upside.

As indicated by B, the total market volume on Wednesday stood at 2.01 billion shares, a 50.8% increased from the previous market volume. Mean while, total market volume on Wednesday has also made an all time new high. The high volume may suggest an inflow of capital, and this has confirmed the break-away gap on Wednesday. Nevertheless, if the volume could sustain at or near this level, the market outlook would be positive in general. (Study B)

As pointed by C, the MACD did not trigger any bearish signal; but instead, it rose in line with the Composite Index on Wednesday. Therefore, provided that the MACD is rising, market outlook would be bullish. (Study C)

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