As indicated by A, the KLCI rose sharply on Tuesday, closing at its daily high of 1594.98 points, gaining 12.25 points or 0.77%. As shown on the chart, the 14, 21, 31 EMA is still serving as the dynamic support to the KLCI, and the L2 line is the newly form short-term uptrend line. Next resistance for the KLCI is at 1600-1609 new high resistance.

Despite gaining over 12 points, which is the biggest gain since 29 of February, total market volume fell 0.91%, with volume still below the 40-day Volume Moving Average. This suggests that the bullish movement on Tuesday was only participated by little investors. Technically, the market volume we have right now is still far away from reaching an ideal bullish market.

As circled at C, the MACD histogram is still ticking higher, thus suggesting that the KLCI short-term is still gaining some strength. The improving short-term signal is expected to carry on until the MACD histogram should form a Rounding Top.

In conclusion, the KLCI is extending is gains and forming the L2 short-term uptrend line. However, the bullish signal was not supported by strong volume. Nevertheless, with the KLCI above the 14, 21, 31 EMA, the immediate technical outlook is positive.