Sunday 25 March 2012

26th March 2012, Monday (DJIA & FBMKLCI)


Rebounded from SMA 20?

As a start for the week, we should look at those indices to gauge on the overall market direction. DJIA last Friday closed in a positive territory and rebounded from the SMA 20 and the psychological level (13000). I am in the view that this should be the immediate reliable support level (supported by SMA 20, SMA 30 & psychological level) and the DJIA should stage a rebound from this level and heading towards the historical high (14185 level) without much problem.
For the week, immediate support is seen at 13000, followed by 12500 and immediate resistance is seen at 13500, followed by 14000 level.



FBMKLCI & FKLI


Waiting Patiently…

What investors will need to do is only to wait patiently as the index will take time to move towards/ above the historical high. I am still in the view that any weakness should serve as an opportunity to initiate long position as the overall uptrend remains resilient and intact. First profit taking level should be placed around the 1595 level.
For the week, the immediate support is seen at 1575 level (SMA 20), followed by 1550 level and immediate resistance is seen at 1600 level, followed by 1630 level.




Fibonacci Level of 50% - Well Defended!

The FCPO staged a strong rebound at the Fibonacci level of 50% (3363) last Friday and this will be the immediate support level for the time being. As mentioned, so long as the FCPO can stay above the Fibonacci level of 50%, the next tough resistance level is only being seen at 3500 level. Any retracement for today should serve as a level for investors to initiate long position, especially if the FCPO traded below 3400 level.
For the week, the immediate support is seen at 3400 level, followed by 3350 level and immediate resistance is seen at 3500 level, followed by 3550 level.




Disclaimer:
The information herein was obtained or derived from the source that I believed are reliable. No liability can be accepted for any loss that may arise from the use of this report. All opinions and estimates included in this report constitute my judgment as of this date, not an invitation to buy and are subject to change without further notice.

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