Looking at KLCI chart, we are on the way of testing 800 and if it breaks, 600 will be the next potential target. The daily chart indicates an oversold condition. A rebound is expected but in a strong directional market, the rebound can be very brief and the oversold condition can persist for a very long time.
Looking at my sector analysis, only the plantation sector that is still holding:
For the rest of the world, almost all experience a strong rebound:
|Nikkei 225||Down||Down||Neutral (+)|
Everyone is still looking for a bottom. My chart indicates that another downward test will be coming soon. If this happens, it may effectively bring KLCI under 800. Let is what Mr Market will do.