Bursa Malaysia has moved higher in five straight sessions, gathering more than 20 points or 1.4 percent along the way.
The Kuala Lumpur Composite Index now sits just above the 1,460-point plateau, although investors may lock in gains on Monday.
At 9.21am, the FBM KLCI opened at 1461.71.
RHB Market Research in a note today (Dec 18) said the FKLI continued its strong rebound on Friday, rising significantly towards the immediate resistance and settling 9 pts higher at 1,467 pts.
The session opened positively at 1,459 pts, and surged to an intraday high of 1,469.50 pts before retreating mildly at the close.
Two consecutive strong rebound sessions above the 50-day SMA line has solidified the uptrend movement – it is poised for a bullish breakout above the immediate resistance.
However, as strong selling pressure has appeared near the immediate resistance, we anticipate a sideways consolidation in the coming sessions before a breakout occurs from a potential strong rebound in the later sessions.
The overall bullish momentum is becoming more evident, supported by the improving RSI momentum indicator at 61% (up from 57%), along with the rising 50-day SMA line.
As the uptrend is strengthening, RHB maintains their bullish trading stance.
Malacca Securities (MSSB) said the FBM KLCI (+0.53%) closed higher with a 5-day winning streak after the US inflation data came in within expectations, coupled with the dovish comments from The Fed.
On the broader market, the Energy sector (+1.50%) gained, while the Healthcare sector (-0.87%) fell from profit taking in glove counters.
Global markets: Wall Street ended mixed as investors took mild profits on S&P500
after the recent rally, but the Dow and Nasdaq extended the rally for the seventh session.
The European stock market ended marginally higher, while Asia ended higher, after China showed an industrial output expansion.
