Straits Index (M) Sdn Bhd
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Daily Market Analysis
Send to a Friend FBM ACE 05/12/2010
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As indicated by A, the FBMACE was still supported by the 14, 21, 31 EMA dynamic support, and on Monday, gaining 50.73 points or 1.22%, to close at 4208.92 points. Resistance for the FBMACE is still at 4350 followed by 4500.

As indicated by B, the Stochastic breaks above 70%, entering the short term bullish territory. Technically, if the Stochastic should remains above 70%, the short term movement of the FBMACE is expected to be positive.

As the FBMACE was supported by the 14, 21, 31 EMA, and consolidating, the MACD histogram was gradually rising, forming Rounding Bottom. The rising of the MACD histogram suggests that the FBMACE is gradually picking up strength, and the improvement is expected to continue, until the MACD histogram should form a Rounding Top.

In conclusion, the uptrend of the FBMACE is still intact, with the 14, 21, 31 EMA serving as the dynamic support. However, to extend the uptrend, the FBMACE would have to break above its resistance of 4350.

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