As shown on the chart above, the KLCI had its daily high reaching 1605.22 points, but only managed to close at 1600.85 points, gaining 1.70 points. However, as indicated by A, the KLCI is still staying above the 14, 21, 31 EMA dynamic support as well as the L2 uptrend line. Resistance for the KLCI is at 1609-1611.

As indicated by B, total market volume fell 17.1%, with volume still above the 40-day Volume Moving Average. However, this is still not yet the ideal volume, if the KLCI were to break above its historical high.

As circled at C, the MACD histogram is still falling, and till now, we still don't see any Rounding Bottom. This suggests that the KLCI short-term is still losing strength or it is still consolidating.

In conclusion, with the KLCI above the 14, 21, 31 EMA as well as the L2 uptrend line, the immediate technical outlook for the KLCI is positive. However, the upside room is still capped by the 1611 level, and a break out is needed in order to sustain this uptrend. Of course, a strong volume is required to confirm such bullish signal.