On Monday, the FBMACE did not have a technical correction, but instead, gap up and tested the L1 descending line, to close at 4190.02 points, gaining 60.10 points or 1.46%. Next resistance for the FBMACE is at 4350 level, which is the peak of November 15^th, 2011. Other than the 4000 points support, the 14, 21, 31 EMA is now serving as the dynamic support to the FBMACE.

As indicated by B, the Stochastic is still touching 100%, which suggests that the short term movement of the FBMACE is indeed very strong, but it is over-heated, and a technical correction or a pullback effect is due to take place in the near future. But as long as the Stochastic could stay above 70% level, the short term bullish movement shall remains intact.

As circled at C, the MACD histogram is still rising, thus no signs of a Rounding Top formation. This suggests that the FBMACE is still picking up strength, and the improvement is expected to continue, until the MACD Histogram should form a Rounding Top.

In conclusion, the short term movement of the FBMACE is over-heated, and it is only normal to have a correction. As long as the FBMACE could stay above the 14, 21, 31 EMA or forms higher-lows, the technical outlook is likely to improve, and the FBMACE could even resume its uptrend.