Sentiment Index - Malaysia Stock Market

Constructed and written by Smartbiz

Asian stocks traded in a tight range on Friday, as investors paused after pushing shares sharply higher in the previous session. Local sentiment suffered from mild selling pressure with the Oscillator slid into negative zone before the break to end at -72.78; lost 253.22 when compares with its opening point. The Average recorded a loss of 46.01.

After today’s trade, %K and %D fell slightly but %A edged higher. The Histogram continued its top-rounding process.

Data for MSCD are appended as below:

DATE	A_OSC	%K	%D	%A	HGM
13/7/2012	117.98	27.98	25.13	67.76	23.54
16/7/2012	272.94	18.30	3.04	55.37	23.10
17/7/2012	32.27	10.52	5.21	54.53	21.63
18/7/2012	6.30	9.87	4.35	52.32	20.15
19/7/2012	2.54	8.74	3.84	50.32	18.63
20/7/2012	46.01	0.32	6.97	50.17	16.37
LAST+-	48.55	8.42	3.12	0.16	2.27

Conclusion: Market sentiment was sluggish repeating the same scenario for several sessions. The key index moved few points higher in the morning session but failed to sustain to close at 1,643 lost 1.6 points. Loser beats Gainer by 410 to 376.

In MSCD, %K is just 0.32 points from the zero level and prepares to meet %D in the negative level. However, the possibility of rebound is still there as gainers and losers are wrestling in small differences. It is opined that broad market will continue to be boring until the key index has a meaningful correction. By then, low-liner should take over the stage to catch up the lagging.

Note: Explanation on Intra-Day MSO and MSCD are archived under "Labels" at the sidebar.