As indicated by A, the 2nd board index broke above the 14, 21, 31 EMA. If the 2nd board can stay above the 14, 21, 31 EMA, it shall serve as the dynamic support to the 2nd board index. Nevertheless, 104.6 point shall be the next resistance for the 2nd board index.

Volume for the 2nd board market increased 6.2%, but remains below the 40-day VMA level. This suggests that the market participation of the 2nd board is still insufficient, and therefore, the 2nd board index is less likely to gain strength.

As circled at C, the Stochastic %K breaks above the 70% level, and triggered an unconfirmed short term bullish signal. If the %D line should break above the 70% level, it shall confirm the %K signal, and the short term movement for the 2nd board index would be bullish biased.

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