As shown on the chart above, the FBMACE gained 63.90 points on Monday, to close at 4276.40 points. Resistance for the FBMACE is now at 4296 while the support remains at 4180 WinChart Automatic Fibonacci Retracement.

As indicated by A, the FBMACE managed to close above the 14, 21, 31 EMA after many attempts. If the FBMACE should remain above the 14, 21, 31 EMA, it is likely that the FBMACE to form an uptrend, and the 14, 21, 31 EMA shall serve as the dynamic support.

As circled at B, the Stochastic is still rising, breaking above the 70% level. Therefore, the Stochastic is showing a short term bullish signal, and provided that the Stochastic could remain above 70%, the short term market movement for the KLCI is expected to be bullish biased.

As circled at C, the MACD histogram is still rising, thus showing that the FBMACE is still gaining strength, this movement is expected to carry on until the MACD histogram should form a Rounding Top.

In conclusion, this is the first time that the FBMACE close above the 14, 21, 31 EMA in 2 months. However, technically, the FBMACE has not really formed an ideal uptrend yet. To form an ideal uptrend, the FBMACE has to form a higher-low, together with the FBMACE staying above the 14, 21, 31 EMA.

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