As indicated by A, the FBMACE technically rebounded on Tuesday, gaining 62.36 points or 1.79%. Support for the FBMACE is now at 3418 while the resistance is at 3640. Meanwhile, the 14, 21, 31 EMA is still serving as the dynamic resistance to the FBMACE.

As indicated by B, the Stochastic breaks above 30% by margin, and this is a short term technical rebound signal. If the Stochastic could break above 70%, it would be a short term bullish biased signal.

As indicated by C, the MACD histogram is still falling, despite the technical rebound on Tuesday. Therefore, the MACD histogram has not formed a Rounding Bottom, and this suggests that the FBMACE is still not showing any signal of regaining its strength.

In conclusion, the downtrend of the FBMACE remains intact, and as long as the FBMACE is still resisted by the 14, 21, 31 EMA dynamic, the technical outlook for the FBMACE is still negative.

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