FCPO and FKLI technical update

The FKLI is trying to reach the resistance level at 1855.  The support near 1803 was tested just once two days later at 1810 before jumping up to 1840.  The buying is something of an oddity but looks like people are anticipating healthy economic news.

Ideally we would like to see the market attempt to test that lower level more than just once.  Three times would be much better.  If the market really is breaking up higher and the buying is strong, we should wait for a solid break above 1855 to make a decision.  At this point the market should still be ranged bound.

FCPO is entering the start of a new down trend according to the DTI indicator.  Now lets look at the likelihood of the downtrend starting.

The major point to consider is whether the new downtrend is heading into tough support areas.  The answer is No, the RM 2,250 and below is no man's land and is anyone's game to where the market can go.

The likelihood that a downtrend could be beginning is quite possible. That being said.  If we consider RM 2,104 support point as a test for the breakdown, the market could be consolidating for a break higher with RM 2,193 as the bottom.

At any rate, we should probably see sub RM 2,200 prices at least once more.