Malaysia Market Outlook (25 – 29 April 2016)

April 24, 2016

FBMKLCI

At last Friday’s closing price of 1718, the benchmark KLCI remained sideway mode. It is observed that the MACD continues to hover above the centreline which indicates the presence of a bullish trend. Moreover, the Stochastic oscillator has reached 30-40% level with a bullish crossover which foretell that possible price strengthening ahead. On the upside, a break above the resistance at 1727 may see an upside push to test the next resistance at 1744. On the downside, a violation below the immediate support at 1700 may trigger a sell-off towards the next support at 1674.

FBMSCAP

At last Friday’s closing price of 15801, the index FBMSCAP’s short-term bullish trend is intact with several higher highs and higher lows spotted. It is observed that the MACD continues to hover above the centreline which indicates the presence of a bullish trend. Meanwhile, the Stochastic oscillator’s bullish crossover suggests a bullish momentum ahead. Overall outlook is bullish in short/mid term.

Strategy to deploy: Selected building material, construction, oil and gas and technology counters in focus. Investor/Trader should focus on strong theme counters, favourable fundamental and technical outlook. Besides, make sure the potential reward is higher than your risk when execute any investment/trading plan.

Stocks to Watch:
OKA, AZRB, EWEIN, INARI, MUDAJYA, POS, WASEONG and etc.

After fundamental, technical and sentiment analysis, the ultimate rule of success is “Execution”

Nicholas Wong

Disclaimer: In addition to the disclaimer associated in my site/blog, the content above should not be treated as a buy or sell recommendation or investment advice. All information provided here should be treated for informational purposes only. The author should not be held liable for any informational errors, incompleteness, delays or any actions taken in reliance on information contained herein. You are reminded and cautioned both (i) that past results of any particular security does not guarantee future performance; and (ii) the correctness of any analysis is no guarantee of future or continuing accuracy.