The market closed marginally lower yesterday but still ended the day above the 1,510 pt-level. We have been using this level to determine if the FBM KLCI could continue to add more points beyond the recent trading range. Yesterday was only the third session during which the index ended above the 1,510 pt-level since 12 Nov 2010.
We still need another strong push to the upside to confirm the breakout of the 1,510 pt-level, especially after the index experienced a failed breakout attempt on 9 Dec 2010. Another failed breakout attempt at the 1,510 pt-level would also see the index continue to trade within the recent trading band ranging from 1,474 pts to 1,510 pts.
We will maintain our firmly bullish bias view towards the near-term market until uptrend line 1 is decisively violated. The nearly 20-pt gain recorded on Tuesday and Wednesday has improved the market’s near-term technical landscape, but the violation of the 1,510 pt-level still needs to be confirmed.
The FBM KLCI’s historic high of 1,532 pts is now the only resistance which we can detect. To the downside, the 1,510 pt-level is still the immediate support while another support is seen at the 1,485-1,492-pt area.
We still need another strong push to the upside to confirm the breakout of the 1,510 pt-level, especially after the index experienced a failed breakout attempt on 9 Dec 2010. Another failed breakout attempt at the 1,510 pt-level would also see the index continue to trade within the recent trading band ranging from 1,474 pts to 1,510 pts.
We will maintain our firmly bullish bias view towards the near-term market until uptrend line 1 is decisively violated. The nearly 20-pt gain recorded on Tuesday and Wednesday has improved the market’s near-term technical landscape, but the violation of the 1,510 pt-level still needs to be confirmed.
The FBM KLCI’s historic high of 1,532 pts is now the only resistance which we can detect. To the downside, the 1,510 pt-level is still the immediate support while another support is seen at the 1,485-1,492-pt area.
No comments:
Post a Comment