Meanwhile, the Bollinger Bands Width contracted 2%, suggesting the KLCI is still consolidating. The consolidation of the KLCI is expected to continue until the Bollinger Bands Width re-expands. Supports for the KLCI remain at 937 WinChart Automatic Fibonacci Retracement, the Bollinger Middle Band, as well as the T1 uptrend line.

As indicated by B, total market volume declined another 21.3%, but still above the 40-day VMA level. This shows that despite the declined in market participation, the overall market is still relatively active. Nevertheless, it is usually normal to have lower volume as the KLCI is consolidating, but if the KLCI should break above the 972 WinChart Automatic Fibonacci Retracement, substantial volume is needed to confirm the breakout.

As circled at C, the MACD histogram is still falling and now rounding bottom is sighted yet. This suggests that the KLCI is still under its short term consolidation stage, and consolidation is expected to continue until the MACD histogram should form a rounding bottom.

In short, the KLCI has not yet entered a bull run, despite staying marginally above the 200-day MA, for the Bollinger Bands Width is still contracting, while the KLCI is still resisted by the 972 WinChart Automatic Fibonacci Retracement; furthermore, total market volume is not substantial to confirm the bull signal. Therefore, the KLCI is likely to remain in its consolidation stage for now, until a valid break out above 972 with significant increased of volume.

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