As shown on the chart above, the FBMACE continued to decline on Tuesday, losing another 12.22 points or 0.3%. Resistance for the FBMACE remains at 4180 WinChart Automatic Fibonacci Retracement while the support is at 3991 WinChart Automatic Fibonacci Retracement.

As indicated by A, the 14, 21, 31 EMA is still serving as the dynamic resistance for the FBMACE, thus the downtrend of the FBMACE remains intact. Technically, the FBMACE has to break above the 14, 21, 31 EMA successfully in order to break away from the downtrend.

As circled at B, the Stochastic remains below 30% level, and therefore, the short term bearish signal remains intact, suggesting that the short term movement of the FBMACE is still weak. If the Stochastic should break above 30% level, it would be a signal suggesting a beginning of a technical rebound.

As indicated by C, the MACD line is still falling, suggesting that the mid to longer term movement of the FBMACE is still weak. However, the MACD histogram might be forming a Rounding Bottom, suggesting that the FBMACE could have a technical rebound.

Despite a chance of a technical rebound as implied by the MACD histogram, the downtrend remains intact. Technically, any rebound below the falling 14, 21, 31 EMA, could only be viewed as a technical rebound, not a reversal signal.

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