FBM KLCI - continued to slide lower
Stocks
on Bursa Malaysia closed on an easier note yesterday on lack of buying
interests in blue-chips and selected heavyweights. At close, the
benchmark FBMKLCI stood at 1,740.84, down 8.53 points or 0.49%. Market
breadth was negative with losers outpacing gainers by 540 to 258, while
293 counters were unchanged. Total volume slipped to 1.2 billion units
worth RM1.5 billion from 1.4 billion units worth RM1.8 billion on last
Friday.
The FBMKLCI opened 0.99 of a point lower at 1,748.38 and rebounded to hit the intra-day high of 1,750.42 fifteen minutes after opening. However, the rebound found no follow through, and the key index slipped lower on continued selling pressure to hit the intra-day low of 1,735.92 at mid-afternoon before rebounding to close off low. Chart-wise, the FBMKLCI formed a bearish black candlestick which indicates persistent selling pressure on selected blue-chips. Hence, the FBMKLCI is likely to continue its current downtrend to further consolidate. Immediate downside support zone is at 1,735 to 1,727, while the overhead resistance zone is at 1,750 to 1,755.
MACD and its histogram continued to slide southward, indicating an increased in the bearish momentum. RSI (14) hooked downward to 28.5 from 30.2, indicating the short term relative strength of the key index is very bearish. Stochastic hooked upward slightly to 4.98 from 3.7, indicating the key index is oversold and is likely to stage a rebound. Readings from the indicators showed that the FBMKLCI is weak and bearish, and is likely to further consolidate.
The trend of the FBMKLCI remained down and bearish as the key index continued to stay below the short, medium and long term moving averages, as well as the downtrend channel. Nonetheless, the body size of the candlestick formed over the last two sessions showed that the downward momentum is reducing and a technical rebound might be expected. On the other hand, a further break of the immediate support of 1,735 will see the key index sliding lower toward the 1,732 to 1,723 support zone, and the downtrend may prolong.
Overnight, the Dow fell 106.31 or -0.59% to close at 17,852.48. Today, the FBMKLCI is likely to trade within a range of 1,719 to 1,764.
This week's expected range: 1689 – 1851
Today’s expected range: 1719 – 1764
Resistance: 1748, 1756, 1764
Support: 1719, 1727, 1734
Stocks
on Bursa Malaysia closed on an easier note yesterday on lack of buying
interests in blue-chips and selected heavyweights. At close, the
benchmark FBMKLCI stood at 1,740.84, down 8.53 points or 0.49%. Market
breadth was negative with losers outpacing gainers by 540 to 258, while
293 counters were unchanged. Total volume slipped to 1.2 billion units
worth RM1.5 billion from 1.4 billion units worth RM1.8 billion on last
Friday.The FBMKLCI opened 0.99 of a point lower at 1,748.38 and rebounded to hit the intra-day high of 1,750.42 fifteen minutes after opening. However, the rebound found no follow through, and the key index slipped lower on continued selling pressure to hit the intra-day low of 1,735.92 at mid-afternoon before rebounding to close off low. Chart-wise, the FBMKLCI formed a bearish black candlestick which indicates persistent selling pressure on selected blue-chips. Hence, the FBMKLCI is likely to continue its current downtrend to further consolidate. Immediate downside support zone is at 1,735 to 1,727, while the overhead resistance zone is at 1,750 to 1,755.
MACD and its histogram continued to slide southward, indicating an increased in the bearish momentum. RSI (14) hooked downward to 28.5 from 30.2, indicating the short term relative strength of the key index is very bearish. Stochastic hooked upward slightly to 4.98 from 3.7, indicating the key index is oversold and is likely to stage a rebound. Readings from the indicators showed that the FBMKLCI is weak and bearish, and is likely to further consolidate.
The trend of the FBMKLCI remained down and bearish as the key index continued to stay below the short, medium and long term moving averages, as well as the downtrend channel. Nonetheless, the body size of the candlestick formed over the last two sessions showed that the downward momentum is reducing and a technical rebound might be expected. On the other hand, a further break of the immediate support of 1,735 will see the key index sliding lower toward the 1,732 to 1,723 support zone, and the downtrend may prolong.
Overnight, the Dow fell 106.31 or -0.59% to close at 17,852.48. Today, the FBMKLCI is likely to trade within a range of 1,719 to 1,764.
This week's expected range: 1689 – 1851
Today’s expected range: 1719 – 1764
Resistance: 1748, 1756, 1764
Support: 1719, 1727, 1734
Stocks to watch: ABRIC, BPLANT, DAYANG, GREENYB, INARI, KAREX, SKPRES, SOLID, UNISEM, VS, WPRTS, YINSON, YTLPOWR
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