FBM KLCI Today Technical Outlook
Daily Technical Outlook The FBM KLCI closed higher by 9.23 points to 1,335.90. Its resistance areas at 1,336 and 1,347 may cap market gains, whilst the obvious support areas for the FBM KLCI are located at 1,320 and 1,335. Due to the Dow’s overnight rise of 25.01 points, we expect the FBM KLCI to remain steady today.
We believe that the FBM KLCI had a key rebound high on 7 April 2010 at 1,347.61. The MACD and Stochastic sell indicators together with the bearish divergent signals suggest that the FBM KLCI is risky at this juncture – with little reward and more risk if investors bargain hunt at these lofty levels. Short-term trading or scalping the market would be the best market strategy. Some stocks that we like are: APM, ENCORP, GCORP, PERISAI, SUNCRN and UNISEM.
Take profit at 1,336 and 1,347
FBM KLCI had peaked at 1,347.61 (on 7 April)
Take profit on any rebound
Obvious support seen at 1,320 and 1,335
source: Maybank IB