As shown on the chart above, the FBM2nd Board Index breaks above the Bollinger Middle Band as well as the 4000 points resistance line, closing 101.72 points higher to 4015.58 points, up 2.6%. Meanwhile, as indicated by A, the Bollinger Bands Width expanded 23% with the FBM2nd Board Index above the Bollinger Middle Band, and therefore, the Bollinger Bands is now showing a bullish biased signal. As long as the Bollinger Bands Width is still expanding with the FBM2nd Board Index above the Bollinger Middle Band, the immediate outlook for the FBM2nd Board Index is likely to be bullish biased. Support for the FBM2nd Board Index is at the Bollinger Middle Band dynamic support.

As circled at B, the Stochastic touched 100% on Thursday, as the FBM2nd Board Index closing sharply higher, entering the short term bullish region. If the Stochastic should remain above the 70% level, the market movement for the short term is expected to be bullish biased.

As circled at C, the MACD histogram continued rising, suggesting the FBM2nd Board Index movement is still improving. Therefore, the improvement is expected to continue until the MACD histogram should form a rounding top, which would be a signal suggesting a technical correction.

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