As indicated by A, the FBMACE tested the 14, 21, 31 EMA on Tuesday, and it managed to rebound from the 14, 21, 31 EMA, gaining 5.12 points or 0.1%. However, it is still resisted by the 4280 WinChart Automatic Fibonacci Retracement, and therefore, it has not formed an uptrend. Nevertheless, support for the FBMACE is at 4130 WinChart Automatic Fibonacci Retracement.

Meanwhile, the Bollinger Bands contracted 4%, suggesting that the FBMACE is likely to consolidate. But since the FBMACE is above the 14, 21, 31 EMA as well as the Bollinger Middle Band, the immediate technical outlook for the FBMACE is still positive.

As circled at B, the Stochastic failed to break above 70% level, and therefore, it does not trigger any short term bullish signal. If the Stochastic should wander around 50% level, the FBMACE is expected to move sideways.

As circled at C, the MACD histogram started falling on Tuesday, and it might be forming a Rounding Top. If the MACD histogram should form a Rounding Top, it would be a signal suggesting that the short term movement of the FBMACE is weakening.

In conclusion, the FBMACE has not formed an uptrend, but managed to stay above the 14, 21, 31 EMA as well as the Bollinger Middle Band. Therefore, technically, it has the required conditions. If the FBMACE should break above the 4280 WinChart Automatic Fibonacci Retracement, it would make room for the upside movement, thus a better chance for the FBMACE to form an uptrend. Then, the 14, 21, 31 EMA shall serve as the dynamic support for the FBMACE.

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