FBMKLCI has recorded sharp rally before the malaise movement in these few days. Many people including analyst have attributed the rally to window dressing activities, however I beg to differ. Remember that FBMKLCI rallied on heavy volume, not tepid volume, which suggest that the buying interest was strong in the rally last week.
Sharp decline recorded by FBMKLCI in these few days have almost eroded all the gain made last week.
This might send a 'something is wrong' signal to market participants, convincing them to believe if new downtrend is about to begin.
However, it is important to note that, this is actually a comeback boat, and don't wrongly believe that everything is bearish again!
Fundamental wise, every aspect still remain hopeful. USD/MYR chart and EWM chart still support bullish macro view on our local market!
Attached below is the hourly chart of FBMKLCI, the circled region on the left is dec 2016 bottom. Notice any similarity between the circled region on the right and the one on the left?
Profit taking was overdone right now, be hopeful that our market will continue the rally.
http://klse.i3investor.com/blogs/Tech_Watch/141947.jsp
