Due to overnight DJI plunged –265, FBMKLCI open with gap down and went as low as 1342.07 (-10.84) before it rebounded to close at 1349.33 (-3.58, -0.26%). The support level 1340 (FR 23.6%) temporary provides a support for FBMKLCI. It rebounded in the afternoon session and manages to come back to stay above the lower trend line at 1346. Please refer to your Winchart for the lower trend line, which draw across from 27/5 to 6/7.
The overall market’s sentiment is considered as bearish biased, as there were 298 up counters and 383 down counters with the market total traded volume increased +3.7% at 798 MIL shares. The trading volume is above 40 days VMA.
All the indicators indicate FBMKLCI is bearish biased today. The candlestick of FBMKLCI had come out from the Bollinger10 lower band and it has a long shadow below (hammer). This indicates a possible technical rebound tomorrow. The nearest possible resistance levels for FBMKLCI is the BMB10 and the previous high 1370 whereas the nearest possible supports levels is the lower trend line at about 1346 and the FR 23.6%; 1340.
FKLI is bearish – Those shorted from higher points can maintain the short position, otherwise take profit and stay sideline 1st.
FCPO was rebounded in the morning but profit taking toward the late afternoon session due the USD was strengthen again. We expect the consolidation to be continued.
At the time of writing,
Europe bourses are flat
Crude oil down –0.96% at $77.27
Soya bean up +0.42% at $10.1975
Soya Oil down –0.19% at $0.423 (Consider as sideway)
USD index up +0.26% at 82.64 (stronger USD will affect FCPO to rally)
The mini Dow Jones down -8 points at 10329
Oct FCPO close at 2673 (-3 points)
Nov FCPO closed at 2640 (-16 points)
