31 July 06 :Technical readings mesdaq board index

Elliott Wave
Daily chart: The MMI's recent impulsive wave was terminated in tandem with that of the KLCI. It closed at 116.83 points last Friday.
Weekly chart: The MMI has yet to complete the retracement of its corrective A-B-C waves of its major corrective wave (B).
Monthly chart: Its wave retracement had completed the first leg of its intermediate-term correction. It is currently unfolding the second leg of its wave correction.

Elliott Oscillator
The Elliott Trigger stayed below its zero region while its Elliott Oscillator continued to stay above its zero region.

Other Indicators
The daily, weekly and monthly stochastics stayed in their respective neutral levels.

MACD
The monthly fast MACD continued to stay above its monthly slow MACD while its daily and weekly fast MACDs stayed below their respective slow MACDs.

ETI
"Bullish" readings continued to register for the medium and long terms. Its short-term reading is "bullish" for now.

PTI
Using the original Elliott wave count, PTI had rebounded to 73 on its daily chart while it dropped to 19 on its weekly chart.

DMA
The MMI stayed above its weekly and monthly DMA levels of 111 and 103 respectively. Its daily DMA stayed at 119.

Divergence
There were significant negative divergences on its daily MACD and Relative Strength Index to the MMI on its daily chart.

MOB
The MOB support is now at 105-115.
Resistance
The next resistance is raised to 125.

Support
Its immediate downside support is at 100-100.

Resistance
A breach above 125 will further boost the Mesdaq undertone.

Market review
Share prices on Bursa Malaysia consolidated early last week before staging strong technical rebounds on the last two trading days.
Second and third liners succumbed to persistent selling pressure. Heavyweight index-linked counters provided the impetus for the KLCI to stay above its support of 920.
The KLCI posted a week-on week gain of 11.09 points to 924.72, the MMI lost 2.5 points to 116.83 while the SBI eased 0.63 point to 90.29.

Market outlook
The KLCI continued to slip on geopolitical tensions in the Middle East, reaching its intra-week low of 902.7 last Monday.
Heavyweight index-linked counters provided the impetus for the KLCI to climb back above its support of 920 on the last four trading days.
The MMI, SBI and KLCI's daily fast MACDs continued to stay below their respective daily slow MACDs last week.
This week, the KLCI is likely to remain unchanged while the lower liners will continue to trend in their respective consolidations. The overhead resistance hovers at 925-935 while its downside support is at 910-920.

31 July 06 :Technical readings Second Board Index

Elliott Wave
Daily chart: The unfolding of its impulsive wave was terminated at 313.89. The SBI closed at 90.29 points last Friday.
Weekly chart: The market is seen to undergo a technical rebound WAVE 4 in the medium term. No significant sign of a REVERSAL from the downside yet as long as the resistance level of 300 remains intact.
Monthly chart: Likewise, it has not completed the downside cycle in the long term yet. It is unfolding a technical corrective WAVE 4.

Elliott Oscillator
The Elliott Trigger and Elliott Oscillator stayed below their respective zero regions.

Other Indicators
Its daily, weekly and monthly stochastics stayed in their respective neutral levels.

MACD
The daily, weekly and monthly fast MACDs continued to stay below their respective slow MACDs.

ETI
The readings are "neutral" for the short term and "bullish" for the medium and long terms.

PTI
Moderate readings are seen on the daily, weekly and monthly charts, suggesting that the market is unlikely to re-test the low of 78 for the long-term support.

DMA
The SBI stayed below its daily, weekly and DMA levels of 93, 93 and 94 respectively.

Divergence
There were no negative divergence on its daily stochastics and Relative Strength Index to the SBI on its daily chart.

MOB
The MOB support is now at 105-110.

KLCI likely to move in wide sideways band

LAST CLOSE (July 28): 934.72 points, up 13.55 points (1.47%) from a week ago. Week’s high: 938.85 points; Week’s low: 921.17 points.

The Kuala Lumpur Composite Index (KLCI) continued its recovery rally last week and closed at its highest levels in 10 weeks.

Minor advances in a few of the main index-linked stocks lifted the index to its highest point in its six-week technical rebound.

MISC, Public Bank, IOI Corp, Bumiputra-Commerce, Petronas Gas, Sime Darby, Genting, Plus Expressways, British American Tobacco and Astro ended the week higher and contributed a combined 10.22 points to the index.

Tenaga Nasional and Telekom ended the week unchanged. Maxis Communication settled the week with small losses.

Volume of the KLCI for the week fell to 397.30 million from 402.55 million shares a week earlier. The average daily volume for the week declined to 79.46 million from 80.51 million shares.

The candlestick chart closed the week positive. Two big white candles occurred in the past two weeks.

This positive development suggests the immediate-term momentum of the index is still constructive.

The KLCI successfully penetrated its important chart resistance at the 928–933 levels last week and painted a positive chart picture for the immediate term.

This six-week recovery rally has helped the index recover more than 50% of its 1½-month losses incurred during the bearish trend in the May–June period.

A continuation of this upward momentum and a successful upward break from its next chart ceiling at the 940–950 levels would clear the course for the index to embark on a bullish rally.

However, failure to generate fresh follow-through buying interest as the index tests this chart resistance would likely be followed by a strong downward correction and force the index to give back some of its recent excessive gains.

An immediate chart support stands around the 930–920 levels. Breaking of this support would indicate the bullish momentum has fizzled.

The weekly indicators remained mixed at Friday’s close and called for choppy sideways actions in the coming sessions.

Stochastic: The weekly stochastic ended in the bullish extended-move zone and gave a strong negative convergence signal, indicating things were a little overdone during last week’s rally. The oscillators per cent K and D closed the week higher at 81.63% and 77.16% respectively.

The weekly Money Flow Index (MFI) ended higher at 39.41 points and showed positive money flow occurred last week. The weekly MFI signalled the index was out of its oversold state.

The 3- and 7-week exponentially smoothed moving-average price lines (ESA-lines) expanded on their buy signal last week and ended Friday positive.

The 3- and 7-week ESA-lines settled higher at 927 and 923 points respectively.

The daily ESA-lines remained in positive divergence and indicated the immediate-term cycle of the index was bullish. The 3-day ESA-line finished above the 7-day ESA-line at 923 and 929 points respectively.

Relative Strength Index (RSI): The 9-week RSI (not shown in the chart) closed higher in the positive territory 55.6 points. Analysis of the weekly RSI shows the immediate underlying strength of the index is positive.

Weekly moving-average convergence/divergence (MACD): The weekly MACD (not shown in the chart) gave the buy signal last week and settled Friday on a positive note.

The weekly MACD ended above the trigger-line and settled higher at 0.20 and minus 0.14 point respectively.

Analysis of the weekly MACD shows the near-term trend would remain bullish.

31 July 06 : Technical readings

Technical readings
Elliott Wave
Daily chart: By using a short-term Elliott Wave count, the KLCI continues to unfold the various degrees of the impulsive A-B-C waves of its major corrective wave (B). The KLCI closed at 924.72 points last Friday.
Weekly chart: The KLCI's weekly wave counts were in line with those of its daily wave counts.
Monthly chart: A breach above 1,018 will change the bearish scenario. The KLCI momentarily breached this resistance level when it hit its intra-day high of 1,021.2 on Feb 18, but has since failed to close above 1,018.

Elliott Oscillator
The Elliott Trigger stayed below its zero region while its Elliott Oscillator stayed above its zero region.

Other Indicators
The monthly, weekly and daily stochastics stayed in their respective neutral levels.

Moving Average Convergence/Divergence (MACD)
The weekly and monthly fast MACDs continued to stay below their respective slow MACDs. Its daily fast MACD stayed above its daily slow MACD.

Expert Trend Index (ETI)
The readings are "neutral" for the short and long terms, and "bullish" for the medium term.

Profit Taking Index (PTI)
Using the original Elliott wave count, PTI displays high readings of 79 and 64 on its daily and weekly charts respectively. PTI of 7 on the monthly chart indicates that a re-test of its previous high of 1,021 is more remote than before.

Displaced Moving Averages (DMA)
The KLCI stayed above its monthly and daily DMA levels of 903 and 914 respectively. It stayed below its weekly DMA level of 930.

Divergence
There were positive divergences on its daily MACD, Stochastics and Relative Strength Index to the KLCI's daily chart.

Make Or Break (MOB)
The revised weekly MOB resistance is higher at 965-975.

Support
The immediate downside support is now 890-900.

Resistance
Its immediate overhead resistance is now 965-975.

Info from : Theedgedaily