Friday, April 17, 2009

KLCI Weekly Review

KLCI Weekly Chart

Based on daily chart, KLCI is really overbought. Friday's volume that is half of Thursday's indicates that correction is imminent. Theoretically, KLCI should test the breakout level of around 930. However, I prefer that if the correction is shallow, preferably not under 945. During the correction, I hope that I can pick up some Genting and Resorts CW. In the last 5 trading days, all sort of sectors have been played up, i.e. oil and gas, wood, property. Penny shares have become not so penny anymore. I think that I will wait for T+3 of Thursday volume to clear first before taking more position. The summary for the various sectors:
Malaysia Longterm Midterm Shorterm
KLCI Down Up (+) Up
Finance Down Neutral Up
Construction Neutral (+) Up Up
Plantation Down Up Up
Property Down Up (+) Up
Mesdaq Down Neutral (+) Up (+)
2nd Board Down Neutral Up (+)

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