As circled at B, the Stochastic is slowly rising, and getting closer to the 30% level. If the Stochastic should break above 30%, it would be a signal suggesting a beginning of a technical rebound. However, it does not mean a short term bullish signal, for if the Stochastic would have to break and remain above 70% level to trigger a short term bullish signal.

As circled at C, the MACD histogram is still falling but at a slower speed. Therefore, there is a sign of a rounding bottom formation. If the MACD histogram should form a rounding bottom, it would be a signal suggesting a consolidation for the FBM2nd Board Index. It is important to know that the FBM2nd Board Index is still trending down, and therefore, all technical rebound signals are usually short term only, unless the FBM2nd Board Index could break above the 14, 21, 31 EMA dynamic resistance.

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