2nd board had a mild correction on Thursday, while precisely supported by 100 point level (Study A1), and rebounded to close at 101.04 points, up 0.48 of a point. Mean while, as pointed by A, the 14, 21, 31 EMA continued serving as the dynamic support to the 2nd board index. If the 2nd board index could remained above the rising dynamic support, the upward movement for the 2nd board index is set to continue.

Volume for the 2nd board market increased again on Thursday, and continued staying above the 40 days VMA level. This suggested an increased in market participation to the 2nd board market. Provided that the volume could remained above the 40 days VMA, the upward movement for the 2nd board index is likely to sustain. (Study B)

MACD histogram continued ticking lower despite the 2nd board index ended higher. Nevertheless, the MACD histogram is still showing some sign of forming a rounding top. If the histogram formed a rounding top, it would be a technical correction signal for the 2nd board index. (Study C)

Find this analysis useful? Why not share it with others? Click Here to send this to a friend

Straits Index (M) Sdn Bhd
No. 16, Jalan LP 1A / 5, Lestari Perdana,
43300 Seri Kembangan, Selangor
Hotline: (03) 8941 6828  (5 lines)   Fax: (03) 8941 9828    
Email: info@straitsindex.com
© Copyright 1997-2007 Straits Index (M) Sdn Bhd All rights reserved