As indicated by A, despite the FBM2nd Board Index marked another new low with 4018.69 points, it managed to rebound just before market closes, and therefore, leaving a rather long lower shadow line. From a technical point of view, this is a sign of a possible technical rebound as a result of over-sold condition.

But still, as shown on the chart above, the 14, 21, 31 EMA is still the dynamic resistance for the FBM2nd Board Index, and therefore, this suggests the outlook for the FBM2nd Board Index is still bearish biased, thus a downtrend.

As circled at B, the Stochastic %K breaks slightly above 30%, suggesting a possible signal for a technical rebound. If the Stochastic %D line should also break above 30% level, it would confirm the technical rebound signal.

As indicated by C, the MACD histogram is still ticking lower, suggesting the FBM2nd Board Index is still turning weaker. The weakening trend for the FBM2nd Board Index is expected to continue until the MACD histogram should form a rounding bottom.

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