Updates on the Malaysia benchmark FBMKLCI & FBMSCAP trend outlook.
View the previous newsletter here:
In the previous week the FBMKLCI was supported at 1805pts which will be a point of reversal for the index to retest our M3_Trend resistant at 1834-1835pts. As of today 25/11/2014 the FBMKLCI closed at 1838pts which is above our M3_Trend resistant. The support to maintain above will remain at 1835pts as stated in our newsletter last week. The Malaysia benchmark FBMKLCI is well on track to a new wave of bull market and will likely test 1850 as its next resistant. As long as the index can maintain above 1835pts in the near term, we will highly see the index forming a complete M3_Uptrend formation soon which will bring us into another wave of bull market in the month of December 2014 after going through 4 months of big market correction. With the listed companies releasing their quarterly reports we expect there will be a short term buying activities in the market. After all it is the performance on our stocks that matters most and not the index itself. This will be a good opportunity to know where your stocks will be heading into the month of December 2014.
The FBMSCAP index is set for a rebound after going through another week of consolidation period. Since the penny stocks have been conquering the top volume recently, we expect the small caps to kick start their moments of rebound too. Short term target resistant for the FBMSCAP index remain at 17,470pts. Once again this will be a good opportunity to know where your stock is heading to into the month of December 2014.
Are they still in a bearish downtrend? or are there in a bullish uptrend?
Stocks to watch
*Stocks below are all based on bullish uptrend. A bearish downtrend stock will need to seek for its rebound before forming into a bullish uptrend. Therefore know where your stock is heading into.*