Meanwhile, the Bollinger Bands only expanded 5%, which is much smaller if compared to the previous expansion rate. Therefore, it implies that the Bollinger Bands could be contracting soon, and if the Bollinger Bands should contracts, the FBMACE would consolidate. Nevertheless, support for the FBMACE remains at 3622 while the resistance is at 3892 WinChart Automatic Fibonacci Retracement.

As circled at B, the Stochastic remains above 70%, thus the short term bullish signal is still intact. If the Stochastic should break below 70%, it would be an end to the short term bullish signal, and a beginning of a technical correction.

As circled at C, the MACD histogram is rising slower, thus implying that the MACD histogram might be forming a Rounding Top. If the MACD histogram should form a Rounding Top, it would means that the FBMACE is losing strength.

In conclusion, after breaking above the 14, 21, 31 EMA, the FBMACE failed to close firmly above it, due to profit taking. However, since it is still above the 14, 21, 31 EMA as well as the Bollinger Middle Band, the immediate technical outlook for the FBMACE is still on the positive side.

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