After falling heavily on Monday, the KLCI pulled back on Tuesday, gaining 5.18 points or 0.33% to close at 1560.36 points. As indicated by A, the KLCI remains below the 1566-1670 resistance, while the support remains at 1535.

As indicated by B, total market volume is still below the 40-day Volume Moving Average, and this is simply showing that the market is still quiet. With the light trading amid the absence of positive factors, the market as a whole is less likely to pickup its strength.

As circled at C, the MACD histogram is still falling, while the Rounding Top pattern is still in sight. This suggests that the KLCI short term is losing strength, which is a signal suggesting short-term correction or consolidation.

In conclusion, the KLCI remains in its downtrend while, and fortunately, not yet extending its downtrend as the KLCI is still above the 1535 support. Technically, the KLCI would have to break above the L1 downtrend line in order to break away from the downtrend.