The FBM KLCI dropped 22.11 points to 1,450.66 at the end of Friday’s morning trading session. As expected, the key index is facing some headwinds due to choppy markets across the region and a rout on Wall Street overnight.
The KLCI opened at 1,460.93, and fluctuated between 1,445.64 and 1,461.03 throughout the morning session. While, losers outnumbered gainers 770 to 151. Volume remained subdued with turnover stood at 1.57 billion units, valued at RM851.18 million.
WTI Crude : Selling Pressure Paused
Keeping it negative trading bias on WTI Crude, RHB Research is keeping ‘short’ positions.
After the recent strong selling pressure, the WTI Crude paused its bearish momentum yesterday as it rebounded strongly from its intraday low to close on a positive note, adding USD2.28 to settle at USD117.59. The commodity began the session at USD115.98 and fell sharply towards the USD112.31 intraday low before rebounding strongly towards positive territory – hitting the USD118.08 day high. The white body candlestick with long lower shadow suggests the bears were just taking a breather, as the WTI Crude failed to close above the previous session’s high. Looking at the immediate-term outlook, it is expected the bearish bias to stay relevant towards hitting near the 50-day average line or the USD108.61 support. The research house is positive on the medium-term outlook, though, as long the commodity trades above that average line. Riding on short-term sentiment, it is keeping to itsnegative trading bias.
COMEX Gold: Strong Rebound To Test The USD1,850 Level
‘Short’ positions being maintained by the research house on this futures.
The COMEX Gold rebounded sharply on Thursday, testing the USD1,850 immediate resistance. It initially gapped up to start the session higher at USD1,835.80. During the European session, it even dropped to the USD1,816.30 intraday low, but strong demand during the US session lifted the commodity towards the USD1,860.20 day high – it closed at USD1,849.90. The latest price action showed that the bullish momentum has started to pick up pace again. The bulls are eyeing to break past the USD1,850 immediate resistance, followed by the USD1,875 mark. A follow-through positive price action may negate the Bearish Marubozu pattern. At this stage, the bearish candlestick stays intact, strong selling pressure is seen as existing at the resistance level. Premised on this, the research house is retaining its bearish bias until the stop-loss level is triggered.
