KLCI Updated

KLCI Weekly Chart

After market sell off last week, market slightly recovered. KLCI retrace near the 50% Fibo line and bounce to 23% Fibo line before closed at 1273 points. If you see on the daily chart, we can saw long lower shadow candle existed (hammer) two weeks ago which I assume the pullback occurred. On the technical indicator RSI showing that KLCI at the moment is downtrend. The sell off two weeks ago tested previous RSI support and bounce back to 50 level. At the moment, not only our market but the most of the world major indices depend on the US economy. The sell-off was triggered by renewed concern about weak housing, consumer confidence reports and ongoing credit and mortgage market woes in the US. All eyes now focusing the US index especially Dow Jones. Tomorrow I expected KLCI will open higher since the US market on last Friday gain 119 points.