As indicated by A, the KLCI closed lower on Wednesday as global markets ended in red, the KLCI break below the 1064 WinChart Automatic Fibonacci Retracement by margin, if the KLCI should not return to above the 1064 level in the near term, there would be more downside risk for the KLCI. Support for the KLCI is now at 1035 WinChart Automatic Fibonacci Retracement while the resistance remain at 1100 psychological level followed by the 1120 WinChart Automatic Fibonacci Retracement.

As shown on the chart above, the Bollinger Bands Width expanded 10%, with the KLCI situated below the Bollinger Middle Band; therefore, the immediate outlook for the KLCI is bearish biased. If the Bollinger Bands Width should expand further, the downside risk for the KLCI shall increase.

As indicated by B, total market volume increased 11.6%, but still, below the 40-day VMA level, suggesting that the overall market participation is still considered low. Nevertheless, since the KLCI is now below the Bollinger Middle Band, the outlook for the KLCI is still bearish biased.

As circled at C, the Stochastic remains below the 30% level, which is the short term bearish region. Therefore, the market movement for the short is at bearish biased, and as long as the Stochastic should stay below the 30% level, the bearish biased movement shall continue.

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