As indicated by A, the KLCI opened lower on Tuesday, at 1658.60 (down 1.62 points), but it managed to close higher at 1663.32 points, gaining 3.1 points. Despite the KLCI is trading at a narrow range, with the KLCI above the 1655, the 1655 is still serving as its immediate support, while the 14, 21, 31 EMA is serving as the dynamic support.

As indicated by B, total market volume increased 24.85%, with volume touching the 40-day Volume Moving Average. This suggests that the market participation is back into “active”, and technically, if volume should continue to increase and stay above the 40-day Volume Moving Average, it is likely to improve the market sentiment as a whole.

As indicated by C, the Stochastic remains above 70%, in its short-term bullish territory, suggesting that the KLCI short-term movement is still positive.

In conclusion, with the KLCI staying above the 1655 as well as the 14, 21, 31 EMA dynamic support, the immediate technical outlook remains positive. Technically, if the KLCI could consolidate in its sideways manner, it is likely to neutralize some of the selling pressure, as this would increase the chance of resuming its previous uptrend.