After rising for 7 consecutive trading days, the 2nd board index finally took a correction on Wednesday, with its daily low touching 96.10 points where it was supported by the 14, 21, 31 EMA dynamic support and rebounded to close at 96.62 points. As pointed by A, the 14, 21, 31 EMA is still the immediate support to the 2nd board index. If the 2nd board index fell below this support, the next support would be at 91.29 Fibonacci Retracement.

Volume for the 2nd board index on Wednesday was relatively high, and this suggested some selling pressure in the 2nd board market, and therefore, the risk of the 2nd board turning bearish is higher. If the volume of the following trading days stayed below the 40 days VMA, the 2nd board is likely to stay weak. (Study B)

MACD histogram retreated on Wednesday, and might be forming a rounding top. If the MACD histogram formed a rounding top, it would be a technical correction signal for the 2nd board index, and the 2nd board index is likely to turn negative for the short-term. (Study C)

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