Last Friday the KLCI closed much lower than the previous low (13.05.2015) of 1,795.16 point. This is a bad sign as it deems that the KLCI would eventually going to create new low.
As we can see after the technical rebound occurred, the KLCI managed to climb until 1,823.50 (18.05.2015) point before it took a sharp U-turn and went down on the next day.
It really caught me by surprise as the U-turn was so fast. It just took 4 days for it to come down to close last Friday at 1,787.50 from a low of 1,780.11 point.
Next support would be 1,774 point. If this support also taken out, the next target would be around 1,706 point. Stay out from this market because at these moments it is quite bearish with "Lower High and Lower Low" been created. A sign of a DOWNTREND in the process.
Group discussion on "Malaysian-Shares FBMKLCI" Facebook.