As indicated by A, the KLCI ended 5.39 points higher on Wednesday, and formed a mixed candlestick, suggesting an uncertain market direction as some profit taking activities took place. As shown on the chart above, the Bollinger Bands Width is still expanding 19%, but if compared to the previous trading days, the Bollinger Bands Width expansion rate is slowing down, suggesting the KLCI upside volatility is also declining. But still, as long as the KLCI is still above the Bollinger Middle Band, the immediate outlook for the KLCI is still bullish biased.

As indicated by B, total market volume declined 2.9%, while still staying above the 40-day VMA level. This shows that the market is still actively participated. Therefore, technically speaking the market participation is still at a healthy level.

As indicated by C, the Stochastic is still falling but still above the 70% level. As long as the Stochastic is still above 70% level, the market movement for the short term is still on the positive side. If the Stochastic should break below 70% level, it would be a signal suggesting a beginning of a technical correction. In short, the KLCI is showing some sign of profit taking, but the short term bullish biased view is still intact.

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