Bursa Malaysia has moved higher in seven straight sessions, gathering almost 25 points or 1.6 percent along the way.
The Kuala Lumpur Composite Index now sits just above the 1,465-point plateau and it’s tipped to open in the green again.
RHB Market Research in a note today (Dec 20) said the FKLI’s recent bullish momentum took a breather yesterday after settling 0.50 pts lower at 1,469 pts – the uptrend structure above the 50-day SMA line also remains intact.
The session opened at 1,469 pts, and the index’s movement oscillated tightly between the 1,466.50-pt and 1,470.50-pt range, ultimately closing on a neutral note.
The pause from the recent strong rebound above the rising 50-day SMA line still suggests an uptrend structure that is poised to propel the FKLI’s movement higher in later sessions.
The RSI momentum indicator remains flat at 62%, ie in positive territory, which suggests bullish momentum ahead that can push the index’s movement towards the immediate resistance of 1,485 pts, followed by the next resistance at 1,500 pts. With that, we maintain our bullish trading stance.
Malacca Securities (MSSB) said the FBM KLCI (+0.03%) closed marginally higher with a 7-day winning
streak amid positive regional markets, and supported by YTL (+7.0 sen) & YTLPOWR (+9.0 sen).
On the broader market, the Utilities sector (+1.30%) was the top gainer, while the Healthcare sector (-1.26%) fell, dragged by profit taking in glove counters.
Global markets: Wall Street ended higher as investors were still upbeat on the potential rate cuts next year and optimistic on the upcoming 3rd quarter US GDP and PCE data.
The European stock market ended higher, while Asia ended mostly higher after the Bank of Japan chose to maintain current interest rate levels.
