As indicated by A, the KLCI was trading at a narrow range on Thursday. Despite touching yet another historical new high, the KLCI ended 0.4 points lower to close at 1644.60 points. Resistance for the KLCI remains at 1647 while the supports are still at the 14, 21, 31 EMA dynamic support and the L2 uptrend line.

As indicated by B, total market volume fell 1.48%, with volume barely staying above the 40-day Volume Moving Average. If volume should failed to break above the 40-day Volume Moving Average, it suggests that the market is back into a quiet mood. But if the KLCI should consolidate, a lower volume is usually normal.

As circled at C, the Stochastic remains above 70%, in the short-term bullish territory. This suggests that the KLCI short-term movement is still positive.

In conclusion, the KLCI is likely to consolidate, but as long as it is still above the 14, 21, 31 EMA and the L2 uptrend line, the technical outlook remains positive.