As indicated by A, the FBMACE is still staying below the Bollinger Middle Band, closing 16.62 points or 0.4% lower on Friday. Therefore, the Bollinger Middle Band is still the dynamic resistance for the FBMACE while the next resistance is still at 4398 WinChart Automatic Fibonacci Retracement. Support is at 4031 WinChart Automatic Fibonacci Retracement.

As shown on the chart above, the Bollinger Bands Width contracted 15%, suggesting that the FBMACE is still consolidating while also gearing up for a new movement, and the direction of the new movement shall only be revealed when the Bollinger Bands Width re-expands.

As circled at B, the Stochastic rebounded slightly on Friday, but failed to break above the 30% level. Therefore, the short term movement of the FBMACE remains intact. If the Stochastic should break above 30% level, it would be a signal suggesting a beginning of a technical rebound of the FBMACE.

As circled at C, the MACD histogram stopped declining, this implies that the MACD histogram might be forming a Rounding Bottom. If the MACD histogram should form a Rounding Bottom, it would be a signal suggesting that the FBMACE is regaining its strength. As for whether the FBMACE could resume its bullish movement, it would have to be confirmed by the FBMACE breaking above the Bollinger Middle Band.

Despite the FBMACE has been falling gradually, the Bollinger Bands Width has not expanded. This suggests that the FBMACE is still preparing for its new movement, but with some bearish bias. If the Bollinger Bands Width should re-expands with the FBMACE below the Bollinger Middle Band, it would form a downtrend.

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