Stocks on Bursa Malaysia closed broadly lower yesterday as investors locked-in profit after two days of rally. The FBM KLCI fell 6.28 points or 0.47% lower to close at 1,317.94. Market breadth was negative throughout the day with losers led gainers by 455 to 254 while 257 counters were unchanged. Volume was lower at 797 million shares valued at RM1.452 billion.
The FBM KLCI opened 0.53 point lower at 1,323.69 and traded in the negative zone throughout the day, it fell as much as 7.93 points to the intra-day low of 1316.29 before rebounding to close off low. The index formed a bearish Harami candlestick formation, which might forewarn of a possible reversal, nonetheless, it still require another candle to confirm. In the case where the index continues to correct downward, it might come down to close the gap formed two days ago; however, it will get support at the 1308 level.
MACD continued to move higher and remained above the zero line. RSI(14) at 71.5 hooked down slightly but still in the very bullish zone. Stochastic at 94.9 indicates that the current price is very strong. The indicators reflected the current bullish condition of the index.
The short term trend as indicated by the 5 and 10-day moving average (MA) is up, the medium term trend as indicated by the 30 and 60-day MA is sideway, while the underlying long term trend remained up.
Today, the FBM KLCI is likely to trade within a range of 1308 to 1331.
This week's expected range: 1260 – 1330
Today’s expected range: 1308 – 1331
Resistance: 1322, 1327, 1331
Support: 1308, 1312, 1315
No comments:
Post a Comment