The FBM KLCI shed another 9.16 pts following last Friday’s slightly more than 10-pt loss. However, unlike last Friday’s retracement which did not at all damage the index’s technical landscape, yesterday’s pullback might lead to further weakness ahead. This is because it looks like the FBM KLCI has violated our recently drawn very short-term uptrend line.
That said, bear in mind that the accuracy of the breakdown signal for a short-term trend violation would normally not be very high. Still, there is still a risk that the index might retrace further, possibility towards the new uptrend line.
We will continue to stick to our bullish bias view on the near-term stock market as long as it maintains a posture at above the new uptrend line.
The next resistance still lies at the psychological 1,500 pt-mark, followed by the 1,524.69 pt-level. To the downside, the 1,439 pt-level is still the immediate support, followed by the 1,428 pt-level.
That said, bear in mind that the accuracy of the breakdown signal for a short-term trend violation would normally not be very high. Still, there is still a risk that the index might retrace further, possibility towards the new uptrend line.
We will continue to stick to our bullish bias view on the near-term stock market as long as it maintains a posture at above the new uptrend line.
The next resistance still lies at the psychological 1,500 pt-mark, followed by the 1,524.69 pt-level. To the downside, the 1,439 pt-level is still the immediate support, followed by the 1,428 pt-level.
No comments:
Post a Comment