Both markets have been moving at opposite directions either retracing from gains or rebounding from drops. Either way, I believe both markets will be going back to its previous directions and here's why:
FCPO
FKLI on the other hand takes the other turn as there is a seemingly indication of a bearish divergence in price and MACD-H. With foreign markets which took a slump last Friday 4th Apr 2014, FKLI and KLCI may set to see some retracement. Volume decreases on the rise which also indicates that traders and investors are losing their appetite on the bulls. Stochastic lines have met and is already at a very high point which may indicate an overbought level. Nearest support would be at 1844-1845 and 18477 as its all time high and resistance.
Personal View:
FCPO: There should be some consolidation but 10th Apr 2014 Production and export data is crucial. Hence, expect some roller coaster ride before the trend continues.
FKLI: Be prepared for retracement. There may be a small push first before it consolidates to retrace.
FCPO
FCPO had literally erased all its gains that started from Feb 10 2014 but it seems to be bottoming out now from 2600 strong support with a hammer head candle on 3rd Apr 2014 and 4th Apr 2014 showed a pretty convincing likely bottoming out. Stochastics had already turned upwards since 12 Apr 2014 and MACD-H are showing shorter histograms which means prices and movements are ticking upwards. 2691-2700 will be the resistance and breaking that will lead back up to 2917.
Personal View:
FCPO: There should be some consolidation but 10th Apr 2014 Production and export data is crucial. Hence, expect some roller coaster ride before the trend continues.
FKLI: Be prepared for retracement. There may be a small push first before it consolidates to retrace.
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