Malaysia Market – End of the Day

Asian stocks rose after the U.S. Federal Reserve said the recession is easing and pledged to keep interest rates low. Hong Kong recouped more than 2% of yesterday’s losses and Singapore regained 1.76%.

At the local front, FBM KLCI opened high but moved sideways for the rest of the day. The Index ended at 1,186.19 gained 5.65. Total Volume increased by 28 mln shares to 1,138 mln shares.

Market sentiment turned robust in the afternoon session with the Oscillator edged higher to end at its highest point at +1,106.94 but lost 51.75 from the starting. The Average recorded a gain of 908.87.

The Key Indicator (Blue) of the Daily MSO Chart hooked up sharply to +138.10 gained 109.68. MS20 continued to face down but MS50 edged higher.

Conclusion
Mudajaya, which prices have been moving by leaps and bounds for weeks, added another 67 sen today after CIMB Research issued a ‘Buy’ recommendation.

Sometimes, you have to trust the analysts. But, many times, we were also led to ‘Holland’ by analysts.

Though MSO has shown a revival from yesterday’s slump but it is noted that the Key Indicator has actually moving in a downtrend and forming a round top since a month ago. This is a sign shows market enthusiasm is descending.

As I have made such statement for several times but never materialize, I would rather not go into conclusion, this time. Instead, let the market runs on its course. (Constructed and Shared by Smartbiz)