Malaysia Stock Market – End of the Day

Besides the endless problems given by Euro-Pigs, market trend is also maneuvered by the emotional N. Korean government who can change its mind from time to time.


The euro bounced back on Tuesday from a day-earlier selloff over euro debt woes following words of support from China, while stocks were firm across Asia as investors picked up end-of-year bargains.

Comments from Chinese Vice Premier Wang Qishan that China supports the measures taken by the European Union and the International Monetary Fund to calm global markets in the face of the euro zone's debt crisis prompted a short-covering rally in the euro currency. (Yahoo)

After 5.00pm, Asian major markets mostly ended with impressive gains. Japanese market gained 1.51%, China 1.79%, Hong Kong 1.57% and Singapore 0.29%.

At the local front, FBMKLCI opened higher and broke the psychological level after one hour’s trade. The index then climbed to as high as 1,510.14 but closed off high at 1,505.18 (+9.30/0.62%). FBMKLCI Pivot Point was 1,502.43 (+6.04) and Total Volume 1,361m (+316m).

Market sentiment was excited after seeing FBMKLCI broke through the formidable barrier and stayed above it. The Oscillator moved uphill lightly and ended at its day-high at +792.61 gained 485.39 when comparing with its starting point. The Average recorded a gain of 459.31.

Conclusion

The friendlier posture of N. Korea government and the rebound of euro gave relief to regional markets, today. Local bourse bounced and reversed into positive mode with the key index returned above its uptrend psychological level.

In MSCD, K% (yellow) recorded as -54.16 (+93.32), D% (red) -73.67 (+42.65) and the Histogram -3.18 (+5.67).

After today’s trade, both key indicators hooked up and K% Line crossovers D% Line again. But, the Histogram remains in negative territory.

Technically, market sentiment has shown a reversal but the consistency remains to be observed as the Histogram is still negative. Besides the endless problems given by the Euro-Pigs, market trend is also maneuvered by the emotional N. Korean government who can change its mind from time to time. And, these are hard to predict.

However, having said that, we have to agree that our market base is strong and any setback is deemed temporary.

Constructed and Written by Smartbiz (Click on chart to view)

(Note: You can read the explanation for Intra-Day MSO and MSCD from the achieves under heading "Labels" at the lower portion of the sidebar.)