FKLI closed : 1580.5 changed : -12.5 points, volume : lower.
Bollinger band reading : pullback correction upside biased.
MACD Histrogram : weakening, buyer taking profit.
Support : 1580, 1565, 1550, 1540 level.
Resistance : 1590, 1600, 1610, 1620 level.
Comment :
FKLI closed recorded loss with relatively low volume transacted doing 8 points discount compare to cash market that closed lower while Asia markets ended lower except Shanghai exchange and European markets currently trading in negative zone with last Friday U.S. market closed lower.
Negative news pouring the markets worldwide with U.S. jobless claim rise more than expected signalling slowing growth, China inflation rate accelerated at fastest pace in three years recording 6.2% and in Euro zone, concern grew that the region’s debt crisis will spread to Italy.
Daily chart formed a wide range down bar candle positioned in between upper and middle Bollinger band level after market opened little lower, slide downward slowly through out the day followed by last minutes price plunge to closed near the low of the day as buyer decided to lock in profit avoiding too much exposure with the current negative market sentiment development.
Technical reading calling for a pullback correction within an upside biased market development possible testing lower support level near middle Bollinger band.
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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