On Wednesday, the FBMACE rebounded, and the 4187 WinChart Automatic Fibonacci Retracement has resumed its role as the immediate support for the FBMACE, while the resistance remain at the Bollinger Middle Band dynamic resistance (as indicated by A) as well as the 4302 WinChart Automatic Fibonacci Retracement.

As shown on the chart above, the Bollinger Bands contracted 14%, suggesting that the consolidation of the FBMACE continues. However, since the FBMACE is still resisted by the Bollinger Middle Band, the immediate outlook for the FBMACE is still on the negative side.

As circled at B, the Stochastic breaks above 30% level, suggesting a beginning of a technical rebound for the FBMACE. If the Stochastic should continue rising, the technical rebound is expected to carry on. If the Stochastic should break above 70% level, it would be a short term bullish signal for the FBMACE.

As circled at C, the WinChart RSI is also breaking above the 30% level, breaking away from the mid term bearish region. If the FBMACE should continues its consolidation, the WinChart RSI is expected to move back to the 50% level neutral level. Technically speaking, the WinChart RSI has to break above 70% level, in order to signal a mid term bullish strength for the FBMACE.

In conclusion, despite the technical rebound, the FBMACE is still resisted by the Bollinger Middle Band. Nevertheless, if the FBMACE could break above the Bollinger Middle Band, and the Bollinger Bands could re-expand, then, the FBMACE would break away from the bearish trend.

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