On Monday, the KLCI continues its consolidation within the range or the 1332 support and the 1368 resistance. Meanwhile, as indicated by A, the 14, 21, 31 EMA is still serving as the dynamic support to the KLCI. Until the KLCI can break out from the trading range, the consolidation of the KLCI is expected to continue.

As indicated by B, total market volume was 30.6% lower, while staying below the 40-day VMA level. This shows that investors are still staying in the sideline as the market direction is still unclear. Therefore, without sufficient participation, the KLCI is expected to stay weak or within the trading range. (Study B)

As circled at C, Stochastic is now showing a short term neutral signal. (30% to 70%) Therefore, the KLCI short term movement is expected to be neutral. (Study C)

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