As indicated by A, the FBM2nd Board Index ended unchanged on Thursday, while still above the Bollinger Middle Band. Meanwhile, the Bollinger Bands Width expanded 7%, suggesting that the immediate outlook for the FBM2nd Board Index is still positive. If the Bollinger Bands Width should continue to expand, there is still a chance for the FBM2nd Board Index to retest the 4000 psychology resistance level.

Other than the Bollinger Middle Band dynamic support, the 3870 WinChart Automatic Fibonacci Retracement is the next support for the FBM2nd Board Index.

As circled at B, the Stochastic remained above 70% level, which is still showing the short term bullish signal. Therefore, if the Stochastic should maintain above 70% level, the market short term movement for the FBM2nd Board Index is still bullish biased.

As circled at C, the MACD histogram is still rising, suggesting that the FBM2nd Board Index is still slowly regaining its strength. Meanwhile, the MACD line is about to break above the zero level. If the MACD line should break above the zero level, it would be a signal suggesting an improvement of the mid to longer term movement of the FBM2nd Board Index.

Find this analysis useful? Why not share it with others? Click Here to send this to a friend

Straits Index (M) Sdn Bhd
No. 16, Jalan LP 1A / 5, Lestari Perdana,
43300 Seri Kembangan, Selangor
Hotline: (03) 8941 6828  (5 lines)   Fax: (03) 8941 9828    
Email: info@straitsindex.com
© Copyright 1997-2007 Straits Index (M) Sdn Bhd All rights reserved