FKLI Spot >>> Technical Analysis and Commentary

Technical Analysis
The FKLI spot month contract ended off high and it closed in the negative territory while benchmark index closed slightly higher on Thursday. At the close, the FKLI price was down p 5.5 pts or -0.33% at 1,682.

Based on the daily chart, a small positive candle with long upper wick has been formed on Thursday where it indicated that the price has been pressured at the intraday highest level. 

During the trading session, the FKLI price jumped to as high as 1,698.5 but it failed to sustain at the intraday highest level. As we can see in the chart, the FKLI price closed below the uptrend channel resistance line and if it is unable to break above that resistance line, there is a high possibility it may fall back.

Referring to the MACD histogram, rounding top is forming up in the near term. As always, intraday support and resistance levels will be eyed.

Technical indicators:

MACD= Positive, ADX= Positive，

Intraday technical support & resistance for 5thApr 2013:

1st support 1,675; 2nd support 1,650

1st resistance 1,690, 2nd resistance 1,700

What is a Fractal Pattern?

What Are Fractals? 

These basic fractals are composed of 5 or more CANDLESTICKS (or BARS if you prefer). The rules for identifying fractals are as follows:

1) A bearish turning point occurs when there is a pattern with the highest high in the middle and two lower highs on each side. 

2) A bullish turning point occurs when there is a pattern with the lowest low in the middle and two higher lows on each side.

The fractals shown above are two examples of perfect patterns. Note that many other less perfect patterns can occur, but the basic pattern should remain intact for the fractal to be valid.

NOTE : What needed be on Friday is a similar looking candlestick like the one closing on Thursday but a little lower in prices. Please be reminded that there is no guarantee the GE13 factor will not be able to break-up the Fractal pattern. But if you remove the GE13 from the equation, chances of a trend reversal is very enhanced.

Can it happen? How the hell would ZL knows? I'm only a techie not GOD !!!

GOOD LUCK 

FBMKLCI >>> GE fever created a 60+ points range volatility

Stay alert for more potential point range swings

as GE13 approaches

 Note : The FKLI chart created an even more perfect Hanging Man candlestick which is 

an early warning of a pullback from its peak it's peak @ 1705.

Definition of a Hanging Man candlestick

This formation does not mean that the bulls have definitively lost control, but it may be an early sign that the momentum is decreasing and the direction of the asset may be getting ready to change. The reliability of this signal is drastically improved when the price of the asset decreases the day after the signal. Hanging man formations can be more easily identified in intraday charts than daily charts and are a very popular formation used by day traders.

Watchout For a Follow-up Negative Candlestick 

FKLI Spot >>> Technicals & Commentary 02 Apr 2013

FKLI Daily Technical Analysis
The FKLI spot month contract ended off low and it managed to close in positive territory on Monday. Meanwhile, cash market closed down 4 pts to end at 1,667.6 points. At the close, the FKLI price was up 3 pts or 0.18% at 1,664.5.

Based on the daily chart, a small negative candle with long lower wick has been formed on Monday where it indicated that price was supported at the intraday lowest level. During the trading session, the FKLI price fell to as low as 1,652 where it hit the 38.2% of Fibonacci level but later it managed to bounce up and closed near the intraday highest level. As we can see in the chart, the FKLI price currently consolidating in a narrow range and we should monitor closely what type of formation it will form in the near term.

Referring to the MACD histogram, rounding top is forming up in the near term. As always, intraday support and resistance levels will be eyed.

Technical Indicators

MACD= Positive, ADX= Positive，

Intraday Technical Support & Resistance for 2/42013

1st support 1,652; 2nd support 1,643

1st resistance 1,678-82, 2nd resistance 1,690

ZLBT's Random Stock Picks >>> 20 x Upper Bollinger Breakout Stocks

*Note: To qualify in the breakout list below, the first sorting criteria is stock price must close ABOVE the upper Bollinger Band, followed by a second criteria that trading volume for the day must be significantly higher than the 20-day average volume, which signal a bullish breakout. 

Caveat: We would caution momentum traders that a highly overbought 14-day RSI reading (> 80) and share price pullback BELOW the upper Bollinger Band are early warning signals to exit buy breakout trades.

DISCLAIMER

The information contained herein was obtained from sources believed to be reliable. However, we do not guarantee the accuracy and completeness of the report. Opinions expressed herein are subject to change without notice. This report is for information purposes only and should not be construed as an invitation, offer or solicitation to purchase or sell any futures product referred to herein. The Author may from time to time has an interest or position in the futures products or stocks mentioned. There is a risk of loss in trading stocks, futures & derivatives like products.

 

GOOD LUCK