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Monday, February 14, 2011

Malaysia Stock Market – End of the Day

Based on charts, the rebound is just an initial stabilization and pending for further confirmation.

Asian stocks rallied on Monday, snapping five straight sessions of losses, as talk of slower-than-expected Chinese inflation helped drive Shanghai's main share index to its best level in seven weeks.

"Asian markets have had a sharp fall year-to-date. The good news coming out of Egypt, which sparked a rally in the U.S. and Europe has flowed through to Asia." (Reuter)

On closing, Japanese market up by 1.13%, China 2.53%, Hong Kong 1.28% and Singapore down 1.01%.

At the local front, FBMKLCI rebounded and gained as much as 18 points in the afternoon session. But, strength weakened towards closing and ended off high at 1,505.33 (+10.81/0.72%). Total Volume was 1,978m (+299m). (FBMKLCI Chart extracted from Jupiter)

Overall market sentiment followed the index marched in happy note. The Oscillator stayed above its Average whole day and ended at its day-high at +1,225.89, gained 274.14 when compare with its starting point. The Average recorded a gain of 989.09.


Today, FBMKLCI broke many pairs of glasses and rebounded decisively. Amidst analysts’ pessimism, the index, instead, pierced through numerous resistances to end with gain of nearly 11 points. The reversal was led by strong regional performance, of which, China jumped 2.53%.

Based on charts, the rebound is just an initial stabilization and pending for further confirmation. Many indicators such as MACD, DMI, RSI and Slow Stochastic as well as my MSCD are still sending out negative signals. The failure to close above the 100-Day SMA-1,507, today, is an unexpected flaw for today’s market. Further to this, the most important impetus, Total Volume, didn’t really improve significantly.  (Chart extracted from 188OMS)

In the MSCD, K% Line (yellow) recorded as -282.62 (+231.14), D% Line (red) -182.98 (+93.80) and the Histogram -73.86 (-6.45).

After today’s trade, both key indicators hooked up but the Histogram printed another longer negative bar. Technically, overall market sentiment is still in cautious mode as K% Line remains below D% Line and the Histogram hasn’t shown any improvement yet.

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.)

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