On Thursday, the FBMACE continued its technical rebound, gaining 25.99 points or 0.7%, to close at 3777.17 points. As indicated by A, the FBMACE is now testing the 14, 21, 31 Exponential Moving Average, which is the dynamic resistance. Support for the FBMACE remains at 3622.46 WinChart Automatic Fibonacci Retracement while the resistance is at 3892.81 WinChart Automatic Fibonacci Retracement.

Despite gaining 0.7%, the technical outlook remains weak, as the FBMACE has not broken above the 14, 21, 31 EMA. In other words, the downtrend remains intact.

As circled by B, the Stochastic continues to rise, but it has not broken above 50%. Technically, the Stochastic has to break above and maintain above 70% level to show a short term bullish signal, and therefore, the current rebound of the FBMACE is only a technical rebound.

As indicated by C, the -DI line of the DMI is still rising, suggesting that the recent fluctuation of the FBMACE has been mostly on the lower side, thus the -DI is rising, and showing a bearish signal; and the bearish signal shall remains intact, until the +DI line breaks above the -DI line.

In conclusion, the FBMACE has not shown any conditions of a reversal yet, thus the downtrend remains intact, especially when the 14, 21, 31 EMA is still serving as the dynamic resistance. Therefore, technical outlook is still weak.

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