As indicated by A, the FBM2nd Board Index retreated 22.69 points to close at 4363.72 points on Thursday, after being resisted by the 14-day EMA line. Therefore, this suggests that the 14, 21, 31 EMA dynamic resistance is still intact, as the FBM2nd Board Index is still in downtrend. Support for the FBM2nd Board Index remains at 4018.69 WinChart Automatic Fibonacci Retracement.

As circled at B, the Stochastic remains above 70% level, which is the short term bullish signal. However, with the FBM2nd Board Index precisely resisted by the 14, 21, 31 EMA (which is a primary indicator), the significance of the Stochastic signal would is reduced.

As circled at C, no rounding top is sighted yet in the MACD histogram. Still, it pays to monitor the MACD histogram for a rounding top signal. If the MACD histogram should form a rounding top, it would be a signal that implies the FBM2nd Board Index is losing strength, thus a weakening signal.

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