Malaysia Market – End of the Day

Asian stocks rose, led by commodities producers, as copper and oil prices increased and sales of existing homes in the U.S. surged the most on record. Among the top winners, Japan gained 3.35% and Singapore 2.05%.


At the local front, FBM KLCI gained momentum in the afternoon session and closed at its high at 1,174.49 gained 10.70 or 0.92%. Unfortunately, Total Volume increased only by 91 mln to 695 mln.

Investors still worrisome as market enthusiasm faded from morning till noon. But, the Oscillator managed to hook up to meet its Average on closing. The Oscillator finished at +255.61 lost 195.23 from the starting point. The Average recorded a gain of 258.95.

The Key Indicator (Blue) of the Daily MSO Chart shot up to -61.69 gained 265.19. Both MS20 and MS50 edged slightly higher. MS50 is now at -21.55.

Conclusion
Today’s MSO shows some sign of reversal, but since MS50 and MS5 are still in the red the trend couldn’t be confirmed.

Even MSO has confirmed market’s reversal, the call of sell-on-Rally still stay because market is still in overbought situation. The recent correction is not deep enough to neutralize the situation.

The thin volume is evident that investors are mostly remaining sidelines. There should be another meaningful correction to attract new buying interest. (Constructed and Shared by Smartbiz)