The FBMACE gap up again on Tuesday, gaining 50.37 points or 1.20% to close at 4240.39 points. Resistance for the FBMACE is at 4350 while the support is at 4000 point as well as the 14, 21, 31 EMA dynamic support.

As indicated by B, the Stochastic is touching 100% level for 3 days now, and this suggests that the short term movement of the FBMACE is indeed strong, but still over-heated. Therefore, a pullback or some technical correction is inevitable. But as long as the Stochastic could remains above 70%, the short term movement of the FBMACE is still positive.

As circled at C, the MACD histogram is still rising, suggesting that the FBMACE movement is improving, and the improvement is expected to carry on until the MACD histogram should form a Rounding Top.

In conclusion, the FBMACE has broken away from the short term downtrend, but pending for some pullback due to short term over-bought condition. If the FBMACE could form higher-lows, it would be a first characteristic of an uptrend formation.