On Friday, the KLCI rebounded 10.28 points to close at 1206.67, and managed to close above the 1200 level. However, as indicated by A, the 14, 21, 31 EMA is still falling while serving as the dynamic resistance for the KLCI. Therefore, the downtrend for the KLCI remains intact. Support for the KLCI is still seen at 1157 level.

As indicated by B, total market volume declined 9.8% on Friday, and the daily market volume remains below the 40-day VMA level. This shows that the current market participation is still low, and therefore, the KLCI is likely to stay weak.

As circled at C, the Stochastic %K breaks above the 30% by margin. If the Stochastic %D line should break above the 30% level, it would mark an end to the Stochastic short term bearish signal; and the KLCI would likely to consolidate.

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