Stocks on Bursa Malaysia ended higher yesterday on follow-through interest in selected blue-chips on the back of a rise in most Asian stocks. The FBM KLCI finished 4.99 points or 0.33% higher at 1,508.88 after opening lower at 1,502.01. Gainers outpaced losers by 587 to 200 while 231 counters were unchanged. Turnover rose to 1.19 billion shares worth RM1.43 billion from 988.923 million shares worth RM1.50 billion, recorded last Friday.
The FBM KLCI opened 1.88 points lower at 1,502.01 and slid to the intra-day low of 1,498.34 in early morning trade. It rebounded to recover loss ground and move higher gradually to hit the intra-day high of 1,509.93 before pulling back on mild profit-taking to end the day at 1,508.88. Chart-wise, the key index formed a bullish white candlestick which indicates buyers were in control for the day, and a continuation of the breakout last Friday. With this steady up move, the FBM KLCI is likely to continue moving higher today to challenge the next overhead resistance zone at 1,515 to 1,530.
MACD has made a golden-cross over its signal-line and also formed bullish divergence which is bullish signals, albeit still in the negative zone. RSI (14) has continued to move higher, and has just crossed the 50-level, which indicates that the FBM KLCI has move back to the bullish neutral zone, and is likely to continue its momentum to move higher. Stochastic is higher at 48.3, which indicates the continuation of the up cycle and the gradual gain in short term market strength. Readings from the indicators showed that the FBM KLCI is gradually moving out of its bearish mode to gradually turn bullish.
The FBM KLCI has now closed above the short term 5, 10, 20 and 30-day moving averages (MA), and hence has gradually turned positive for the short term, and is likely to continue its upward momentum to challenge the medium term resistance posted by the 50, and 60-day MAs at 1,525 level. If the key index is able to close above the 1,530 level, it would reverse the current downtrend to an uptrend. Immediate overhead resistance zone for the key index is now at 1,515 to 1,530 while the downside support zone is at 1,500 to 1,474.
Overnight, the Dow rose another +178.01 points or +1.50% to close at 12,036.53. Today, the FBM KLCI is likely to trade upward within a range of 1,489 to 1,522.
This week's expected range: 1457 – 1531
Today’s expected range: 1489 – 1522
Resistance: 1513, 1518, 1522
Support: 1489, 1494, 1501
Stocks to watch: MBSB, PMETAL
No comments:
Post a Comment