Another consolidation day for FBMKLCI, it dipped below the BBMB10 but it manages to come back to close above the BBMB10 at 1360.66 (+0.21, +0.02%). The Bolliger10 Mid-band is supporting the CI right now.
The overall market’s sentiment is considered as bearish biased, as there were 293 up counters and 402 down counters with the market total traded volume decreased -19% at 699 MIL shares. The trading volume is slightly below 40 days VMA for the 1st time since 15/7/10.
Tech stocks continue to dip further, we advice you stay away from this sector. The rubber stocks are not doing better either but the steel counters may run again. Mudajya recover 12.5% after big dropped last week. The O&G sector still has no sign of rally soon. The plantation sector seems to move up after the spot’s month FCPO rally more RM2800 per ton. The rest of the sectors are either under correction or consolidation stage.
Most the indicators indicate FBMKLCI is consolidation to bearish biased today. The nearest possible resistance levels for FBMKLCI is the previous high 1370 whereas the nearest possible supports levels is the BBMB10 and the 23.6% FR 1340.
FKLI is uncertain, there is no certain trend at this stage.
Third month FCPO continues its strong rally today. We expect FCPO will take a rest any time soon before further rally toward 2800 level.
At the time of writing, Europe bourses rally > +1.2% to 1.5%.
Crude oil up +1.08% at $81.57
Soya bean up +0.87% at $10.425
Soya Oil up +1.76% at $0.4286 (strong rally that will help CPO to rally)
USD index up +0.05% at 80.64 (weak USD that will help the commodities to rally)
The mini Dow Jones up +31 points
