Malaysia Stock Market – End of the Day

Today, FBMKLCI rebounded from its initial support 1,539 but failed to break through its overhead resistance 1,550 which is the Bollinger Middle Band now. This barrier has to be taken away to confirm its upswing strength.

Asian stocks outside Japan struggled to hold on to early gains on Monday, as investors remained wary before a slew of corporate earnings and a Fed meeting this week expected to give a cautious readout on the health of the world's biggest economy.

Concerns about rising inflation gave investors an excuse to book profits in some Asian markets after strong rallies in 2010, but rather than exiting the region funds were being reallocated to countries seen as having a better grip on price pressures.

"The Dow Jones gain on Friday and higher Asian stocks this morning may provide positive support," said Parin Kitchaotornpitak, a senior analyst at broker Far East Securities in Bangkok. "But we still see some pressure from selling by foreign investors." (Yahoo)

After 5.00pm, Japanese market up by 0.69%, Singapore 0.04% but China down 0.68% and Hong Kong 0.31%.

At the local front, FBMKLCI failed to sustain its gain but fell deep into the red again. The index ceased around 1,541 and hovering in 2-point range to end off low at 1,542.97 (-4.46/0.29%). Total Volume was 1,833m (-57m). (FBMKLCI Chart extracted from Jupiter)

Market sentiment followed the index reversed into pessimistic tone with the Oscillator sliding more than 1,500 points into the red. The Oscillator ended off low at -1,185.06 lost 1,469.12 when comparing with its starting point. The Average recorded a loss of 947.90.

Conclusion

In the MSCD, K% Line (yellow) recorded as -522.99 (-77.21), D% Line (red) -208.03 (-59.20) and the Histogram -102.02 (-53.24).

After today’s trade, both key indicators fell deeper and the Histogram printed a longer negative bar.

Technically, market sentiment is still bearish but participation is sizable, that is a plus. Today, FBMKLCI rebounded from its initial support 1,539 but failed to break through its overhead resistance 1,550 which is the Bollinger Middle Band now. This barrier has to be taken away to confirm its upswing strength.

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.)