As indicated by A, the KLCI rebounded on Tuesday after precisely supported by the Bollinger Middle Band, and therefore, the Bollinger Middle Band continues to serve as the dynamic support for the KLCI. Anyway, the Bollinger Bands Width is still contracting, suggesting the consolidation of the KLCI still has not ended yet. Generally, if the narrower the Bollinger Bands Width contracts, the expansion of the band width would be clearer in contrast, and since the Bollinger Bands Width is indeed very narrow now, it implies that the consolidation is near its end.

Again, if the Bollinger Bands Width should expands with the KLCI above the Bollinger Middle Band, it would be a bullish signal for the KLCI. Of course, the KLCI would still have to break above the T1 downtrend line in order to successfully break out from the downtrend.

As indicated by B, total market volume increased 4.9% on Tuesday, but the volume is still further below the 40-day VMA level. This shows that the market is still relatively quiet, as the consolidation of the KLCI continues.

As circled at C, the Stochastic breaks above 70% level on Tuesday, entering the short term bullish region. If the Stochastic should maintain its position above the 70% level, the short term bullish movement is expected to continue. Nevertheless, with the Bollinger Bands Width still contracting, signals from the Secondary indicators might be a little over-sensitive.

In conclusion, some slight improvement of the KLCI is seen, but the overall performance of the markets across the globe still play an important role in affecting the KLCI performance.

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