On Wednesday, the KLCI fell 3.26 points or 0.21%, to close at 1560.52 points. As indicated by A, the KLCI remains in its narrow range sideways consolidation and the 14, 21, 31 EMA is still serving as the dynamic support to the KLCI. Resistance for the KLCI remains at 1567 followed by 1600.

As indicated by B, total market volume increased 17.75%, with volume above the 40-day Volume Moving Average. However, losers outnumbered gainers (with 541 losers over 302 winners) suggests that profit taking activities is dominating. Technically, if volume should continue to increase with the KLCI falling, it implies some increased of selling pressure.

As indicated by C, the Stochastic retreated and breaking below 70% by margin. This triggers a short-term technical correction signal. If the Stochastic should failed to return to above 70% in the immediate term, the short-term bullish movement of the KLCI would come to an end.

In conclusion, despite the profit taking, the uptrend of the KLCI remains intact, while the technical outlook is still positive. Technically, there is no sign of weakness yet, not until the KLCI should break below the 14, 21, 31 EMA or form lower-highs.