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Showing posts from September, 2015

The FBM KLCI Chart Brief

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The FBM KLCI gapped down at the start of the session, but managed to recover to end marginally higher at 1,615.01 pts (+1.84 pts). The MACD Histogram, however, extended another red bar but the RSI is above 50. Resistance will be set around 1,660. Support will be located around 1,600.by Malacca Securities

FBM KLCI Brief Technical Outlook

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Follow-through selling pressure was noted on the FBM KLCI and it ended below the EMA9 level. The MACD Histogram extended another red bar, but the RSI is hovering above 50. The FBM KLCI may be due for a technical rebound towards the resistance of 1,650. Meanwhile, the support will be set around 1,600.by Malacca Securities Sdn Bhd

Bursa Malaysia Market Update

The FBM KLCI might add a few points today following the rebound of global stocks overnight that clawed back some of the losses due to the Federal Reserve’s inaction last week.The FBM KLCI might add a few points today following the rebound of global stocks overnight that clawed back some of the losses due to the Federal Reserve’s inaction last week. Meanwhile, the dollar extended Friday’s rally, oil prices staged a solid rebound and gold snapped a three-day run of gains. The CBOE Vix volatility index was down 7% in late trade. On Wall Street, the U.S. stocks rose but still off their highs of the session after a selloff in health-care stocks capped gains by the main indexes. At the closing bell, the S&P 500 added 8.94 points, or 0.5%, higher at 1,966.97. Health care was the only sector to lose ground, while financials and technology stocks led gains. Meanwhile, the Dow Jones Industrial Average rose 125.61 points, or 0.8%, to 16,510.19, with 25 of its 30 members closing higher and th…

FBMKLCI to Consolidate on Profit Taking Pressure

Share prices on Bursa Malaysia extended gains for a second week. The FBMKLCI breached the 1,600 psychological level last week as investors reacted positively to  Special Economic Committee's measures to stabilize the stock market with the reactivation of ValueCap with funds of up to RM20bn to shore up the local stock market.
Meanwhile, global market sentiment also got a boost from the U.S. central bank’s decision to hold the interest rates steady last week but gains were capped by renewed concerns about the health of the global economy, in particular China. Hence, the renewed concern on global economic growth and its eventual impact on the domestic economy will continue dampen sentiments and cap further upside in near term.
Week-on-week, the FBM KLCI rose 65.85 points, or 4.11 percent last week to 1,669.45 with Tenaga (+RM1.00), Public Bank (+76sen), Digi.Com (+44sen) and Axiata (+34sen) accounting for about half of the index’s rise. Average daily traded volume and value imp…

Malaysian Ringgit Offshore-Onshore Spread Signal

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NDF foretelling Ringgit respite? Equity market regains some upside KLCI: 1,603.36 points 2015 Year-end Target: 1,650 points…which spiked up to almost 1,000 pips near mid-August… Henceforth, the underlying pressure returned more strongly. In the ensuing months of June to August 2015, the spread of USD/MYR offshore-onshore forward rates expanded progressively and eventually spiked up to almost 1,000 pips near mid-August. During that time span, the spot USD/MYR breached two important psychological levels, namely 3.80 in early July and 4.00 near mid-August.USD/MYR 12-month forward offshore-onshore spread (from end-August 2014 to present):

…is now showing clear sign of tapering. Towards the end of August however, the underlying Ringgit situation was turning for the better. This was attested by the rapid reversal in the offshore-onshore spread as it turned negative in late August and again lately. It is notable that the spread slumped to more than -200 pips at its recent trough, the lowest l…

FBM KLCI Weekly Chart

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above: FBM KLCI Weekly ChartThe FBM KLCI ended higher but faced with mild resistance around the EMA20 level (1,620). The MACD Indicator, however has given a “Buy” signal, while the RSI has crossed above 30. The FBM KLCI may be due for a profit taking activities as it approaches the 1,660 level. Support will be set around 1,580.by Malacca Securities Sdn Bhd