On Wednesday, the Composite Index ended higher, closing 5.4 points to 945.97 points. As indicated by A, the Composite Index is now facing the hurdle at the previous high at 946.47 as well as the T3 dynamic resistance line of the up trend channel. Despite the bullishness of the market, breaking above the T3 is not easy. (Study A)

Nevertheless, 14,21,31 EMA are still rising suggesting that the Composite Index is still trending up, and mean while, 14 EMA is still serving as the dynamic support to the Composite Index.

As pointed by B, total market volume on Wednesday stood at 895 million shares, a 7.2% higher. However, it is still below the 40 days VMA level suggested that more volume is need to confirm the bullishness of the KLCI. Generally, a rally with low volume is not likely to last, and therefore, growth of volume is a crucial element to support the bullish movement. (Study B)

As indicated by C, WinChart RSI is about to break above the descending line. If WinChart could break above the descending line, it suggests that the market correction has ended thus more upside potential. In WinChart RSI failed to break above the descending line, the Composite Index would most likely to correct again. (Study C)

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