FBM KLCI 11 April 2011
As indicated by A, the FBM KLCI ended sharply lower on Monday, with its daily low of 1540.67, and it managed to rebound slightly after touching the 14-day EMA, ended the day at 1544 points, losing 13.49 points. Currently, the 14, 21, 31 EMA is still serving as the dynamic support to the KLCI. Resistance for the KLCI remains at 1577.
As indicated by B, total market volume fell 11.92%, with volume barely above the 40-day Volume Moving Average. If volume should continue to fall, the KLCI is less likely to pick up its strength.
In short, the KLCI is having its technical correction, but it has not formed any bearish reversal. If the KLCI should fall below the 14, 21, 31 EMA, the next support is seen at 1525.