FBM KLCI - likely to stay sideways range-bound

Stocks on Bursa Malaysia closed mixed last Friday with the benchmark FBM KLCI ended marginally lower, reversing earlier gains on mild profit taking prior to the weekend. At close, the FBM KLCI settled at 1,845.86, down 2.08 points or 0.11% after fluctuating between 1,852.95 and 1,845.09. On a weekly basis, the FBM KLCI gained 1.55 points from previous Friday’s 1,844.31. Market breadth was positive with gainers overwhelmed losers by 493 to 334, while 357 counters were unchanged. Total volume stood at 2.58 billion shares worth RM2.28 billion, down from Thursday’s 2.70 billion shares worth RM2.52 billion. Weekly turnover grew to 12.11 billion units worth RM11.27 billion from 9.42 billion units worth RM9.26 billion on previous week. Read more >>

FBM KLCI - in consolidation

Stocks on Bursa Malaysia closed mixed yesterday with the benchmark FBM KLCI ended almost flat to close 0.92 point lower at 1,849.39 points after fluctuating between 1,843.99 and 1,849.77 throughout the day. Nonetheless, gains in small-capitalised stocks helped mitigate losses caused by selling in blue-chips, particularly in banking- and oil and gas-related stocks. Gainers thumped losers by 479 to 374, while 314 counters were unchanged. Total volume fell to 1.8 billion units worth RM1.79 billion from Wednesday’s 1.82 billion units worth RM1.88 billion. Read more >>

FBM KLCI - Breakouts

Stocks on Bursa Malaysia closed higher last Friday tracking the positive regional markets. The benchmark FBM KLCI closed 2.55 points or 0.14% better at 1,834.52, after hovering between 1,829.74 and 1,836.82 throughout the day. On a Friday-to-Friday basis, the FBM KLCI gained 21.15 points from 1,813.37 on previous Friday. Gainers outpaced losers by 383 to 360, while 345 counters were unchanged. Total volume was lower at 1.78 billion units worth RM1.28 billion from Thursday’s 2.16 billion units worth RM2.03 billion. Weekly turnover increased to 10.94 billion units worth RM9.06 billion from previous week’s 10.21 billion units worth RM9.5 billion. Read more >>

FBM KLCI - turning uptrend

Stocks on Bursa Malaysia ended the first quarter yesterday on a firm note with the benchmark FBM KLCI advancing 3.95% year-to-date on window dressing as bargain hunters triumphed over profit takers. The FBM KLCI rose 8.95 points or 0.49% to close at 1,830.78 points, after hovering between 1,825.3 points and 1,832.85 points throughout the day. Gainers edged losers 417 to 410 while 350 counters were unchanged. Total volume rose to 2.15 billion units worth RM2.45 billion from Monday’s 1.92 billion units worth RM1.7 billion. Read more >>

KLCI lacking participation

The KLCI started Friday(071207) with a positive mood, the CI touched the record high of 1449.70 within the first twenty minutes of the session, and thereafter profit taking sets in and sent the CI down to the low of the day at 1431.77, an 18 points retracement from the peak but closed off low at 1434.04 (-6.35, -0.44%). Losers outnumbered gainers with 542 to 275. Volume traded was weak at only 790 million shares, this clearly indicates the local market lacks participation from the mass retailers, the CI's gain over the last few days was merely due to the gain in a few heavy weights.

Technically, Friday's price action has lead to the formation of a bearish engulfing candlestick which indicates distribution, especially happening near the top. The KLCI may continue to retrace downward to the 1423 level, which may provides support for the immediate term. For the medium term the 1400 psychological support is important. For the long term, our KLCI is still on the uptrend. Base on the trend channel, we are looking at the very possible target of 1500, this target may be achieved by the first quarter of 2008.

Some of the stocks that may offer short term trading opportunity are Kianjoo and Pohkong.
















Disclaimer: The above is not a recommendation to buy or sell, all suggestions mentioned are purely for academic study purposes for our trend trader club members only, and the author may have personal interest and position in some of the examples mentioned. Any losses incurred if you were to trade base on the study examples above is solely your own responsibility. Do consult your dealer before taking any action

KLCI all time high

As mentioned in the post on Thursday, KLCI actually made a break through of the 1400 mark on Monday in conjunction with the announcement of the ECER to close at the all time high of 1411.62, cheers! Malaysia Boleh! KLCI lagi Boleh!

As for Tuesday, the market opened with joy for the first 10 minutes and CI registered another intra day record high of 1416.97, thereafter the market goes into profit taking mode and CI corrected downward to the low of 1404.48, and remain in a sideway range for most part of the day, finally closed the day at 1412.79 (+1.17, +0.08%), a record high close. Volume reduce slightly to 1.8 billion shares traded, which is healthy.

Technically speaking, KLCI forms a Spinning Top candlestick yesterday, this indicates the market is a bit hesitant to move further at this level, in conjunction with DJIA's fall, the market may take excuse to profit take and further corrects downward to the 1398 level. The retail investors are getting smarter, they will take profit first whenever the market makes new high, as the saying, "A bird in hand is better than ten in the bush", money in your pocket makes you feel better.

Most of the stocks that we follow are doing well, BHIC, Landmark, Pohkong, Kretam, Unico are making new high, cheers! I am sure many of our friends are having sweet dream. However, always be on the guard, never let Greed over-rule, just follow the market signals, don't predict.

Some of the new stock to watch are MPHB, INCKEN.

Disclaimer: The above is not a recommendation to buy or sell, all suggestions mentioned are purely for academic study purposes for our trend trader club members only, and the author may have personal interest and position in some of the examples mentioned. Any losses incurred if you were to trade base on the study examples above is sole your own responsibility. Do consult your dealer before taking any action.