Saturday, January 2, 2016

Dow Jones Not Showing Sign Of Continuing Up Trend.

Based on the chart reading the Dow Jones still didn't show any sign of continuing up trend. If we take a look at the chart, each of the high (3 previous high) created for the past two months have not been penetrated.
If the last high wasn't taken out, we have to be careful in this new beginning of new year trade. It has been a volatile trading for the past one month with up and down. MACD Histogram just started to flash RED suggesting some weaknesses ahead but it is still early to tell.  

For the KLCI, the indicators reading still look positive. At these moments a correction might set in after some huge surge over the past one week. The resistance of 1,697 need to be taken out before another resistance of 1,727 set in.

Monday, December 14, 2015

KLCI To Continuing It's Downtrend.

As for last Friday closing, the KLCI creating a Lower Low based on chart reading. If we take a look on the chart there are 3 Lower Highs and 3 Lower Lows in the making.

It shows that the market will continue its downtrend. It is quite important to look on this Wednesday night whether the Federal Reserve will make an announcement on interest rate hike.
Most people are saying that it is likely the Federal Reserve will raise it. We will wait and see what will happen to the Dow Jones. 

Tuesday, November 17, 2015

There Is A Chances That The KLCI Might Be Moving Forward?

After declining about 38 percent from the high created on 19.10.2015 (1,727.71 point) to a low on 16.11.2015 (1,644.29 point) based on Fibonacci Retracement reading, we might see a rebound after the KLCI manage to show more strength. Indeed the first hurdle that the KLCI must cross is the resistance at 1,697.00 point.
If this resistance can be taken out we might see a continuing of up trend but if the index fall below 1,644.00 point there might be heading to 1,617.00 points. 
No doubt the MACD still in selling signal but today MACD Histogram start to flash Green colour suggesting that the KLCI is gaining strength but the weekly Histogram still in Red colour.
From observation in the futures trade we can see that these two days whenever the futures FBMKLCI open at low in the morning session it will close higher in the evening trade however the trend still need to depends on how the Dow Jones Industrial Average is doing.