FBMKLCI opened flat at 1301.83 (-0.11) and it went as high as 1303.85 (+1.91) within 10 mins however profit taking quickly took place at 9:10am and it started to drop as low as 1294.97 (-6.97) at about 10:40am. It then started to go sideway and registered an intra-day low 1294.87 (-7.07) at about 3:25pm. FBMKLCI rebounded slightly at about 4:20pm and finally closed at 1296.6 (-5.34.01, -0.41%). Right now the major support level 1300 had been broken today. This also implies that 1300 will become a strong resistance level for FBMKLCI from now.
There are 278 up counters and 357 down counters with the market total traded volume further decreased by 15.1% to 574.7 mil shares. The market volume is below the 40 days VMA and it is not able push the market higher.
Today’s FBMKLCI top 5 gainers components are MMCCORP, AMMB, TANJUNG, MAXIS and BJTOTO, while the top 5 lagging components are GENM, HLBANK, PLUS, IOICORP, and SIME.
FBMKLCI Technical Indicators
The candlestick still below the mid-band with the Bollinger band further contracted by -15%, this indicates FBMKLCI still under correction and consolidation stage in short-term.
RSI had dipped below 70 level and goes sideway to closed at 61.15. This indicates FBMKLCI still under consolidation stage in short-term.
STC %K dipped below the threshold level (30) at 4.38 and the %D further decreases to 25.17. This indicates FBMKLCI is bearish biased in short term. It also implies the CI components are oversold now and there is chance for it to rebound next week.
MACD maintains above zero level but it had crossed the trigger line now. The histogram still remains rounding top. This may suggest further correction or consolidation until a rounding bottom is form.
Summary
The overall market’s volumes are below 40 days VMA and suggest that more investors choose to take profit and go sideline. With the sellers more than the buyers, our market will continue to go sideway or mild correction in short-term. All the indicators above indicate FMBKLCI is sideway and bearish biased. It also implies the CI components are oversold now and there is chance for it to rebound technically next week.
There is no fresh good news to boost the volume at this moment and we believe the correction and consolidation will continue on next weeks. The support level 1300 is broken now, we are looking at 1292 as the next support level.
The nearest possible resistance levels are 1300, 1308 and BBMB. The nearest possible support levels are 1292, 1286 and 1280. Please refer to the chart below for more information.
