Bollinger band reading : correction range bound upside biased.
MACD Histrogram : getting lower, buyer taking profit.
Support : 1540, 1530, 1515, 1500 level.
Resistance : 1550, 1565, 1580, 1590 level.
Comment :
FKLI closed recorded substantial losses with higher volume transacted doing 8 points discount compare to cash market while regional market closed mostly lower after China official reported the first quarterly trade deficit in 7 years while Japan having another 7.1 earthquake issued tsunami warning for Tohoku about 4.30 pm local time.
Daily chart formed a wide down bar candle closed nearer to middle Bollinger band level after market opened gap up tested little higher followed by profit taking selling pressure pressed price down to closed near the low of the day.
Chart study still suggesting a correction range bound upside biased market development possibly correcting downward testing lower support level and this could be a substantial correction. Indicator wise, there could be a longer time frame MACD downward convergence taking place waiting for the MACD to cross down for confirmation(plotted downward lines).
When to buy : buy at support or weakness with 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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