As indicated by A, the KLCI attempted to break above the 869 WinChart Automatic Fibonacci Retracement, but failed. Therefore, the 869 WinChart Automatic Fibonacci Retracement is still the resistance for the KLCI while the support is at 853 WinChart Automatic Fibonacci Retracement.

As shown on the chart above, the KLCI is still at the border line of the 20-Bollinger lower band, and therefore, there is still a chance for a pull-back.

As indicated by B, total market volume decline 11.3%, while the volume continue to stay below the 40-day VMA level. This not only shows that the market participation is low, it also implies that investors confidence is also low in general. Therefore, the KLCI is less likely to pick up any strength.

As circled at C, the Stochastic remain below 30% level, which is the short term bearish region. With the Stochastic below 30% level, the short term market movement for the KLCI is expected to be bearish biased.

In conclusion, the market overall market sentiment is still weak, as the market is lightly participated. Despite having a chance for a pull-back, the KLCI is still below the Bollinger Middle Band, and therefore, the outlook for the KLCI is still bearish biased.

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