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On Monday, the KLCI fell 2.85 points or 0.18%, to
close at 1582.98 points. As indicated by A, the KLCI remains in its sideways
consolidation while still staying above the 14, 21, 31 EMA dynamic support. This
suggests that the uptrend of the KLCI is still intact. Resistance for the KLCI
remains at 1597.08 or 1600.
As indicated by B, total market volume fell
25.05%, with volume below the 40-day Volume Moving Average. This suggests that
the market is lightly participated, as investors are being cautious amid market
uncertainty.
As indicated by C, despite the lower volume and
the fall of the KLCI, the Stochastic stays above 70%, in its short-term bullish
territory. This suggests that the short-term movement of the KLCI is still on
the positive side.
In conclusion, the uptrend is still intact for the
KLCI, but due to insufficient inflow of fresh capital as well as the the low
investors confidence, the KLCI is not able to break above its resistance yet. If
the KLCI should break below the 14, 21, 31 EMA, the uptrend would be temporary
interrupted.
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