Technical Commentary 23/04/10

FBMKLCI was traded sideway again today however the Technology stocks like UNISEM, GTRONIC, DUFU, ENG, D&O and etc continue to keep the Technology sector bullish. FBMKLCI still considered as sideway although it closed negative at 1336.78 (-0.23, -0.02%). The index still stay above the BBMB with a DOJI candlestick, that’s means the direction is undetermined. There are 305 up counters and 352 down counters with the market total traded volume slightly decreased by 1.9% to 818 MIL shares and it slightly below 40 days VMA. This means the investors still caution.

Today’s FBMKLCI top 5 gainers components are MISC, CIMB, HLBANK, AMMB and PLUS. The top 5 lagging components are SIME, GENTING, YTL, YTLPOWR, and BJTOTO.

FBMKLCI Technical Indicators
The INDEX still stays above the mid-band with the Bollinger band unchanged from yesterday (0%); this indicates FBMKLCI still consolidating but new trend could be started soon.

RSI decreased slightly at 50.65; this indicates FBMKLCI is sideway biased for short term.

STC %K was slightly decreased to 67.91 and the %D increased to 61.42. This indicates FBMKLCI still consolidating.

The MACD still heading south but the histogram is started to form a round bottom, this indicates FBMKLCI short-term consolidation but it might rebound soon.

Summary
Most of the indicators above indicate FBMKLCI is consolidation however some indicators like MACD histogram indicate the index might rebound soon. If the market volume can further improve, the chances of rebound will be better. The nearest possible resistance levels for FBMKLCI are 1340, 1347.6 and 1354. The nearest possible support levels are BBMB, 1334, the L2 trend line, and 1318. Please refer to the chart below for better understanding.