On Monday, the KLCI was traded in a narrow range, closing 3.42 point or 0.22% at 1560.57 points. As indicated by A, the 14, 21, 31 Exponential Moving Average is still serving as the dynamic support to the KLCI, and the uptrend remains intact. Immediate resistance for the KLCI is at 1567 while the next resistance is at 1600.

As indicated by B, total market volume fell 17.31%, with volume slightly below the 40-day Volume Moving Average. If volume should remain below the 40-day Volume Moving Average, it suggests that the market is back to quiet as inflow of fresh capital decreases. Generally, the KLCI or the market overall less likely to pickup its strength if volume is low.

As indicated by C, the Stochastic rebounded on Monday, while stays above the 70% level, in the short term bullish territory. This suggests that the short-term movement of the KLCI is still positive.

In conclusion, despite the decline in trading volume, the uptrend of the KLCI remains intact, and the technical outlook is still positive. Technically, if the KLCI should consolidate, market volume is usually lower.