Meanwhile, the Bollinger Bands only expanded 9% on Thursday, and when compared to the previous expansion rate, it seems like the Bollinger Bands could be contracting soon. If the Bollinger Bands should be to contract, it would suggest that the KLCI is entering a consolidate.

As indicated by B, total market fell 0.66%, as the volume is now below the 40-day Volume Moving Average. This suggests that the market is getting quieter, as investors are being cautious. Nevertheless, if the KLCI should consolidate, a lower volume is normal.

As indicated by C, the Stochastic rebounded and now testing the 30% level. If the Stochastic could break above 30%, it would suggest a beginning of a technical rebound for the KLCI, and the KLCI could break away from its short term bearish movement.

Despite rebounding slightly on Thursday, the technical outlook for the KLCI remains on the negative side as it is still below the 14, 21, 31 EMA.

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