Technical Rebound Around The Corner?

To be frank looking at the performance of the Dow Jones Industrial Average, I would expect that the DJIA might have started the downtrend move. How long the downtrend would be? Sometimes a downtrend can go for few week or maybe for few month. Right now I don't have any answer for it because during a downtrend being perform it is hardly to determine and to understand where the index are heading to.

Looking at the share prices right now and the overall last Friday closing (Malaysian share market), its looks a bit tempting as most of the share prices has come down and most of them are in oversold position.

I think this week we might have some technical rebounds but it won't be overall counters that are going to move up. It will be selective; counters which have experience some sharp falls recently.

FBM-KLCI has drop about -65 points from its previous high and we can expect some technical rebound ahead. When the index will climb? We have judge it by our monitoring. Any more sharp falls will be dealt as an opportunity to accumulate. RSI (Relative Strength Index) currently in oversold position.

To determine whether we still have some chances this coming weeks, it would depends on how the DJIA and the world equities market performance. Basically it is still not safe enough to invest or to speculate at these moments. Things still looks not safe enough or I can say we are being surrounding by lots of fire burning. Anytime we can get burn. If we are not careful enough, the burn will even hurt us until the bone.