On Tuesday, the Bollinger Bands Width of the FBM2nd Board Index contracted 22%, as the FBM2nd Board Index continued its consolidation. Meanwhile, as indicated by A, the FBM2nd Board Index is set to test the Bollinger Middle Band dynamic resistance as well as the 4000 point resistance level. If the FBM2nd Board Index should break above these resistances, the immediate outlook for the FBM2nd Board Index shall improve. However as for any bullish signal, we would still have to wait until the re-expansion of the Bollinger Bands Width with the FBM2nd Board Index above the Bollinger Middle Band.

As circled at B, the Stochastic started rising as the FBM2nd Board Index rebounded, but still, it is below the 30% level. If the Stochastic should break above 30% level, it would be a signal suggesting a beginning of a technical rebound. If the Stochastic should break above the 70% level, it would be a short term bullish signal for the FBM2nd Board Index.

As circled at C, the MACD histogram is still rising steadily while the rounding bottom remains intact. Therefore, the consolidation of the FBM2nd Board Index continues. In short, provided that the MACD histogram is still rising, the improvement of the FBM2nd Board Index movement is expected to continue.

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