Wednesday, June 8, 2011

20110608 1742 FKLI EOD Daily Chart Study.

FKLI closed : 1549 changed : -6.5 points, volume : higher.
Bollinger band reading : correction range bound upside biased.
MACD Histrogram : weakening, buyer closing position.
Support : 1540, 1530, 1515, 1500 level.
Resistance : 1550, 1565, 1580, 1590, 1600 level.
Comment :
FKLI closed recorded loss with increasing volume participation doing 2.5 points discount compare to cash market that closed nearly unchanged and regional(Asia & European) trading mostly lower while overnight U.S. market lower for the 5 consecutive day.
U.S. Federal Reserve official statement on a slow U.S. economy recovery despite stimulus measure been implemented plus no plan to start new stimulus plan raised investors worries to a new level.
Daily chart formed a down doji bar candle with longer lower shadow closed nearer to middle Bollinger band level after market opened weaker, edge up 1 point higher and slide downwards lower before recover slightly but failed to closed above support level.
Still in correction range bound upside biased market development possibly testing lower supported level near middle Bollinger band.
When to buy : buy at support or weakness with larger quick cut loss and profit target.
When to sell : sell at resistant or strength with quick cut loss and profit target.

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