KL Composite Index To Break the Major Resistance ?

Although the KL Composite Index went up so much and close higher with a gain of 14.28 points, it is still early to say that the market has already make it move. A check on the individual counter suggests that they are still moving around their consolidation level.

The true picture will only appear by next week. It means that there will be another three weeks from now before Chinese New Year arrive to determine whether the KL Composite Index is changing course.

Any significant breakout from the major downtrend (resistance) channel will pave a new way of a new course for the KL Composite Index.

At this moment it is very important to keep an eye on how the KL Composite Index will react. Will the index manage to bring up a new life to Malaysian share market ? By calculating the percentage of losses (accumulation) that might be occour during this time is likely to be very low but in terms of profitability, it is likely to be very high.

Any accumulation been done right now would be the right time to do it but we cannot treat it as an opportunity to make a huge accumulation. It will depend on which counters to accumulate and whether the KL Composite Index movement is solid enough to support the share prices but sometimes our observation might be wrong. The share market might be heading south without any reason ?

One more thing we need to remember that yesterday the KL Composite Index rose 14.28 points, or 1.7 per cent, to close at 881.63. The index was likely being push by the government agency in order to make it close higher for a lovely window dressing for the year 2008.

We must not feel very excited about the index movement yesterday but rather an acknowledgement for us to monitor and to watch closely whether the move created yesterday was a genuine one ? ....... Whether the move was a genuine one or not, something telling me that the market might be heading north ........ Who knows ?..... Anything can happen lately with the recession already hits so many countries around the world.

What is your suggestion or your opinion towards the Malaysian share market right now ? Any idea ..... ???????? Anyway I would like to wish all my readers A HAPPY NEW YEAR.

***** HAPPY NEW YEAR *****