On Friday, the KLCI opened higher at 1634.45 point, but selling was still active in blue chips, thus pushing the KLCI down to its daily low of 1624.55 points. However, as indicated by A, the KLCI found its support at 1625, and started to rebound, recovering some of its early losses, and at the close, the KLCI ended at 1629.28 points, losing 2.40 points. Current support for the KLCI is at 1625 while the 14, 21, 31 EMA is serving as the dynamic resistance.

As indicated by B, although total market volume increased a little, it stays below 40-day Volume Moving Average, suggesting that the market participation is still low. The lower volume implies that investors are being cautious amid unclear market outlook and the lack of positive market factors.

As indicated by C, the Stochastic stays below 30%, in the short-term bearish territory. This suggests that the KLCI short-term movement is still weak. If the Stochastic should break above 30%, it would be a signal suggesting a technical rebound.

In conclusion, global markets were basically affected by the continuous fall of the US markets, and Malaysia is no exception. Selling pressure has been higher lately in the local market as losers continue to outnumber gainers, and this has definitely affected investor's confidence. If the Stochastic should rebound from 1625, the first hurdle would be the 14, 21, 31 EMA dynamic resistance. Technically, as long as the KLCI is still below the 14, 21, 31 EMA, the immediate technical outlook is on the lower side.