Sentiment Index - Malaysia Stock Market

Constructed and written by Smartbiz 

Intraday Oscillator: Local sentiment opened in positive momentum but, again, failed to sustain due to selling of low-liners. The Oscillator slid into the red but ended off low at -42.01, lost 125.24 compared to its opening point at +83.23. The Average recorded as -43.00; gained 205.32 compared to -248.32 of the previous session.

MSCD: After today’s market, %K hooked up but the Histogram continued to print another longer bar in the negative zone.

MSCD data are appended as below:
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DATE	A_OSC	%K	%D	%A	HGM
11/23/2012	-329.98	-161.57	-129.60	-112.81	-21.53
11/26/2012	-212.93	-169.47	-135.78	-116.45	-23.96
11/27/2012	-534.18	-225.56	-165.30	-131.64	-31.22
11/28/2012	-248.32	-229.06	-171.45	-135.88	-36.50
11/29/2012	-43.00	-200.44	-161.93	-132.50	-36.90
LAST+-	205.32	28.62	9.52	3.38	-0.40

Analysis: MSCD shows market sentiment has gradually picked up but remains in cautiousness. The sustainability of the key index though has alleviated the selling but sentiment was still weak. Conclusion can only be made after %K crossed over %D.

OSK said buying may have finally returned, possibly ending the selling that started following 2 Nov’s “Long Black Day”, after FBMKLCI formed the “Bullish Engulfing” pattern yesterday. This could mark a significant bottom as it coincided with a false breakdown of both the psychological 1,600-pt level and the 200-day MAV line, and not to mention the most oversold daily RSI since Aug 2011. This could see it moving back in the direction of the longer-term uptrend, which is supported by the positive “Golden Cross” that emerged in February.

Note: Explanation on MSCD can be found under "Label" at the sidebar.