Wednesday, February 23, 2011

FBM KLCI Retesting The Lower Bollinger Band, 23-02-2011

Regional markets continued to retreat amidst Middle East tensions and the FBM KLCI was not spared. Investors cashed in on profits, following Moody's downgrade of Japan's sovereign rating and deadliest quake to hit New Zealand in 80 years. At close, FBM KLCI dropped 12.22 points or 0.80% to 1,513.63.

Despite positive numbers expected from the ongoing Feb reporting season, the persistent selldown in lower liners and worsening turmoil in Mideast are likely to weigh on investor’s sentiment in the short term.

Technically, the 12-point decline of KLCI yesterday and the failure to violate middle Bollinger band have temporary punctuated the technical rebound that started from the trough of 1490 (11 Feb).

Immediate support levels are 1500 and the lower Bollinger band of 1496, followed by 1488 (130-d SMA) and 1470 (150-d SMA).

Immediate resistance are 1525 (mid Bollinger band), 1530 (DTL) and 1537 (38.2% FR from low of 1474 and all time high of 1577).

Daily FBM KLCI Retesting The Lower Bollinger Band
FBM KLCI 23-02-2011

Source: HLeBroking

No comments:

Post a Comment

Related Posts Plugin for WordPress, Blogger...