FTSE Bursa Malaysia KLCI (.KLSE) dips as key banking stocks retreat as regional markets trade mixed

FTSE Bursa Malaysia KLCI (.KLSE) dips as key banking stocks retreat as regional markets trade mixed

FTSE Bursa Malaysia KLCI (.KLSE) dips as key banking stocks retreat as regional markets trade mixed

The FBM KLCI dipped in early trade this morning as key-index linked banking stocks retreated, against the backdrop of mixed regional markets.

At 9.10am, the FBM KLCI dipped 3.30 points to 1,354.20.

The early deccliners included Nestle (M) Bhd, Heineken Malaysia Bhd, Public Bank Bhd, Texchem Resources Bhd, Hong Leong Bank Bhd, Sarawak Oil Palms Bhd, British American Tobacco (M) Bhd, Time Dotcom Bhd, Malayan Banking Bhd and Press Metal Aluminium Holdings Bhd.

Bloomberg reported stocks looked set to for a mixed start to the week as investors mulled a slowdown in new coronavirus cases and readied for the start of earnings season. Oil futures swung after a historic deal to cut output.

U.S. equity futures declined in early Asia trading and Japanese contracts retreated. Many markets remained closed for holidays. The euro steadied after France, Germany, Italy and Spain reported a slowdown in new cases. Canada’s dollar opened higher after OPEC+ agreed to cut 9.7 million barrels a day from global crude output — just below the initial plan of 10 million. The yen ticked higher, it said.

JF Apex Securities Research said major markets around the world were closed on Friday for Good Friday holiday.

“On the local market, the FBM KLCI dropped 12.26 points to 1357.50 points.

“Following its recent flattish trend, the FBM KLCI could hover sideways below the resistance of 1370 points,” it said.

Technical Indicators

Overall, the bias in prices is: Downwards.

Note: this chart shows extraordinary price action to the downside.

The projected upper bound is: 1,428.98.

The projected lower bound is: 1,275.89.

The projected closing price is: 1,352.44.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 25 white candles and 25 black candles.

A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 72.4374. This is not an overbought or oversold reading. The last signal was a sell 0 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 48.08. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 14 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 60. This is not a topping or bottoming area. The last signal was a sell 1 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 12 period(s) ago.

Rex Takasugi – TD Profile

FTSE BURSA KLCI closed down -1.740 at 1,355.760. Volume was 94% below average (consolidating) and Bollinger Bands were 34% wider than normal.

Open     High      Low     Close     Volume___
1,357.9401,358.1901,352.7801,355.760 8,863,400
Technical Outlook 
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period     50-period     200-period
Close: 1,349.11 1,423.76 1,556.82
Volatility: 22 36 20
Volume: 144,656,208 188,413,040 127,225,120

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

FTSE BURSA KLCI is currently 12.9% below its 200-period moving average and is in an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect volume flowing into and out of .KLSE at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on .KLSE and have had this outlook for the last 2 periods.

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