As indicated by B, total market volume fell 16.56%, but still above the 40-day Volume Moving Average. This suggests that the market is still actively participated and it still help lifting the sentiment in general. However, it is important to note that most of the volume are still found in low-priced stocks, and this has not shown any sign of huge capital inflow to our market yet.

As indicated by C, the Stochastic remain above 90% and this is a signal suggesting that the KLCI is getting over-heated. Nevertheless, with the Stochastic above 70%, the short term movement of the KLCI is still positive.

After rising non-stop for a few days, the KLCI is showing signs of over-heating, thus a risk of a technical correction is inevitable. However, a sort of technical correction is healthy to the market. If the KLCI should being to correct or consolidate, while still holding above the 14, 21, 31 EMA, it would have a good chance to form a higher-low.

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