Bursa Malaysia ended lower on lackluster trading ahead of the tabling of Budget 2022 tomorrow. The benchmark index, FTSE Bursa Malaysia KLCI (FBMKLCI), declined 16.22 points to its intraday low of 1,566.86 from yesterday’s close of 1,583.08. In fact, the market barometer gapped down 2.0 points at 1,581.08 (despite reaching an intraday high of 1,581.49) earlier in the day. Market breadth was negative with losers outpacing gainers 624 to 422, while 415 counters were unchanged and 832 untraded.
With the weaker closing, TrainYew’s Trading System has reaffirmed its earlier “Negative Signal”. However, the index is still supported above the Bollinger Middle Band at 1,570. A breach of which will probably suggest a further consolidation towards TrainYew’s SuperTrend support of 1,540/35.
Again, while there is no “Negative Signal” is observed on Pick@Stock’s COWI Sentiment Index, failure to see a quick recovery in trading sentiment will lead to further deterioration in the market breath and trigger a “Negative Signal” eventually.
Based on Pick@Stock’s “Today Keywords”, it seems that Banking, Semiconductor, Oil & Gas (O&G), Energy as well as Metal sectors faced strong selling pressure. The strong profit-taking activities among commodity-related players could be owing to a sharp pullback in Crude Oil and other commodities prices from their recent highs.
Besides, the disposal of 10 million shares in Press Metal Aluminum Holdings (PMETAL, 8869) by its major shareholder, Tan Sri Koon Poh Keong has also been suppressing its share price performance. In fact, today’s sell down has triggered another “Negative Signal” and violated TrainYew’s SuperTrend support. Lower supports are seen at RM5.50/40 while resistance is seen at RM5.90.
Having said all negatives, the market, however, saw Property counters performing strongly, as investors have been speculating on potential “goodies” to be given to property sector. Chart-wise, both Eco World Development Group (ECOWLD, 8206) and SP Setia (SPSETIA, 8664) have staged volume breakout and uptrend acceleration today. Their immediate supports are seen at RM0.940 and RM1.40 respectively.
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THIS IS NOT AN ADVICE ON ANY INVESTMENT OR TO TIME THE MARKET. IT IS JUST SHARING FOR EDUCATION PURPOSES. PLEASE NOTE THAT ABOVE ANALYSIS ARE BASED ON BEST AVAILABLE INFORMATION ON PUBLIC PLATFORM. I WILL NOT ACCEPT ANY LIABILITY WHATSOEVER FOR ANY DIRECT OR CONSEQUENTIAL LOSS ARISING FROM ANY USE OF THIS INFORMATION.