Despite the US market’s weak closing on Tuesday, the FBM KLCI still closed higher by 6.26 pts. There was no follow-through selling in the market to confirm the “Bearish Harami”. We mentioned before that the key index would need to fall below the short-term uptrend line in order to confirm this bearish reversal signal. If not, the market is still expected to trend higher along this line.
Anyhow, because of the bearish reversal pattern is constructed in the vicinity of the previous major breakdown point, it is a crucial signal to watch out for. Meanwhile, we have a Neutral view on the FBM KLCI, although the index is trading at above its uptrend line. This is because the DJIA’s near-term technical outlook will remain bearish at below the 10,700 pt-level. We will see if the FBM KLCI’s “Bearish Harami” will be confirmed soon.
To the upside, the 1,334 pt-level is still the immediate resistance while next resistance is situated at the 1,350 pt-level. The 1,307/1,308 pt-level is still the immediate support for the market. Further away, watch out for the 1,298-1,303 pt-area as the next support.
Anyhow, because of the bearish reversal pattern is constructed in the vicinity of the previous major breakdown point, it is a crucial signal to watch out for. Meanwhile, we have a Neutral view on the FBM KLCI, although the index is trading at above its uptrend line. This is because the DJIA’s near-term technical outlook will remain bearish at below the 10,700 pt-level. We will see if the FBM KLCI’s “Bearish Harami” will be confirmed soon.
To the upside, the 1,334 pt-level is still the immediate resistance while next resistance is situated at the 1,350 pt-level. The 1,307/1,308 pt-level is still the immediate support for the market. Further away, watch out for the 1,298-1,303 pt-area as the next support.
No comments:
Post a Comment