Straits Index (M) Sdn Bhd
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Daily Market Analysis
Send to a Friend FBM ACE 08/12/2010
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After rising for a few days, the FBMACE retreated on Thursday, with its intraday low touching 4196.48 points. However, as indicated by A, the FBMACE was still supported by the 14, 21, 31 EMA dynamic support, and the FBMACE fell 28.81 points or 0.68%, to close at 4232.43 points. Resistance for the FBMACE remains at 4350.

As indicated by B, despite the falling on Thursday, the Stochastic stays above 70%, which means that the short term bullish signal is still intact. This suggests that the short term movement of the FBMACE is still positive.

Although the MACD histogram is still rising, it is rising at a slower pace. As indicated by C, if the MACD histogram should start falling, it would be forming a Rounding Top, which by then would suggest that the FBMACE is losing strength.

In conclusion, the uptrend of the FBMACE is still intact, with the 14, 21, 31 EMA serving as the dynamic support, and the technical outlook for the FBMACE is still positive.

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