Meanwhile, the Bollinger Bands did not expand, thus suggesting that the FBMACE is still consolidating. Support for the FBMACE is at 3622 while the resistance is at 3891 WinChart Automatic Fibonacci Retracement.

As circled at B, the Stochastic failed to return to above 70%, while still falling. Therefore, this suggests that the short term movement of the FBMACE is getting weaker. If the Stochastic should break below 30%, it would be a short term bearish signal for the FBMACE.

As circled at C, the MACD histogram is still falling while no rounding bottom is sighted yet. This suggests that the FBMACE is still losing strength, while consolidating.

Despite the MACD histogram and the Stochastic are showing some signs of weakness for the FBMACE, the FBMACE has not formed a downtrend, as it is still above the Bollinger Middle Band, as well as the 14, 21, 31 EMA. If the Bollinger Bands should re-expands with the FBMACE above the Bollinger Middle Band, it would be a bullish signal, otherwise, a bearish biased signal.

Find this analysis useful? Why not share it with others? Click Here to send this to a friend

Straits Index (M) Sdn Bhd
No. 16, Jalan LP 1A / 5, Lestari Perdana,
43300 Seri Kembangan, Selangor
Hotline: (03) 8941 6828  (5 lines)   Fax: (03) 8941 9828
Email: info@straitsindex.com
© Copyright 1997-2010 Straits Index (M) Sdn Bhd All rights reserved