Thanks to Intel’s Q2 financial result and Q3 projection was better than expected, the global market was surging today. FBMKLCI opened with gap up of 3.78 points at1336.65 and it was bullish throughout the sessions to close at 1341.08 (+8.21, +0.62%). FBMKLCI had broken out the previous high 1335 and manage to stay above it. Right now the investors’ confident level had improved as the trading volume was increased today. Although the CI counters near overbought today and we believe some levels of correction may happen any time after it was rising for 7 trading sessions. As long as a lower high (on the chart) is created after the correction, FBMKLCI may has a good chance the break 1350 provide there is no bad news in US or Europe in near term.
The overall market’s trend is considers as bullish today as there were 506 up counters and 194 down counters with the market total traded volume increased by 39.6% to 821 MIL shares. The market volume is above the 40 days VMA today; this means that the investors are more confident now after Intel posted a good Q2 result.
Today’s FBMKLCI top 5 gaining components are HLFG, SIME, PPB, AMMB and TENAGA. The top 3 lagging components are YTL, MISC and DIGI.
FBMKLCI Technical Indicators
FBMKLCI stays above the Bollinger Middle Band 10 (BMB10). The Bollinger Band 10 (BB10) had opened 27%; this means that FBMKLCI is bullish biased.
RSI hooks up again at 57.8; this indicates FBMKLCI is slightly bullish biased.
STC %K moves sideway to 98.15% and the %D increases to 92.1, this indicates FBMKLCI is bullish biased and also indicates CI counters is over bought.
The MACD line crosses the trigger line and the histogram crosses Zero, this indicates FBMKLCI is bullish biased.
Summary
All the indicators indicate FBMKLCI is bullish biased. However the STC indicates the CI counters near overbought and correction may happen any time from now. Nevertheless if the buying interest is continues tomorrow, the correction may delay.
The nearest possible resistance levels for FBMKLCI is 1350 whereas the nearest possible supports levels is 1335 and 1325 (FR 76.4%). Please refer to the picture below.
