Sentiment Index - Malaysia Stock Market

Constructed and Written by Smartbiz

Local sentiment succumbed to profit taking today after yesterday’s significant gains. The Intraday Oscillator slid deep into the red shortly after opening. However, buying support emerged after the break. The oscillator gradually recouped some losses to end at -66.49; lost 81.94 when compares with its opening point. The Average recorded a loss of 918.37.

In MSCD, %K (Yellow) computed as +361.42 (-232.61), %D (Red) +223.56 (-91.39) and the Histogram +123.19 (+3.67).

Technical Analysis
After today’s trade, both indicators hooked downwards and the Histogram printed a slightly longer bar in the positive area.

Market sentiment turned cautious after yesterday’s across-the-board gain. Total volume decreased by 32% but was considered adorable when compared with the 40-day average.

In MSCD, %K remains above the uptrend channel indicates selling was not really intensive to spoil the bullish sentiment as yet. Taking into consideration of the strong performance of the key index, sentiment should stay strong albeit certain extend of consolidation. Unless %K fell off from the uptrend channel, optimism shall prevail.

Meantime, it is advisable to reduce our bet while waiting for a better entry point.

(Note: Explanation for Intra-Day MSO and MSCD are archived under "Labels" at the lower portion of the sidebar.)