The bullish crossover in MACD and an uptick in DMI suggest buying pressure has started to gain traction, which could lead to further upside in the near term. We expect the index to continue the bullish momentum towards the resistance level of 1,650 in the near term.
See MoreOur expectation of near-term weakness was overturned by yesterday’s gains. We opine that the previous few consecutive days of correction was overdone; thus yesterday’s gain could kick-start a reversal and absorb selling pressure. Overall, we expect the FBMKLCI to hover in the range of 1,580-1,617 for the time being, and violation of either limit would spark a follow-through.
See MoreThe FBMKLCI continued to form lower highs and lower lows on yesterday’s movement, given the lack of domestic catalysts to bring the index back to its prior trend. This is further reinforced by the downtick in the RSI, which suggests that buying momentum would continue to ease over the next few days. As such, we expect the index to resume its uptrend once the current consolidation phase ends.
See MoreAt the close in NYSE, the DJIA gained 0.73% to hit a new all time high, while the S&P 500 index gained 0.35%, and the NASDAQ Composite index climbed 0.58%.
See MoreAt the close in NYSE, DJIA gained 0.72%, while the S&P 500 index climbed 1.17%, and the NASDAQ Composite index climbed 1.21%.
See MoreAt the close in NYSE, the DJIA lost 1.09%, while the S&P 500 index lost 0.51%, and the NASDAQ Composite index added 0.01%.
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