Genting Bhd Update

Genting has broken down of the down trend channel and has broken through the previous support area of RM 4.30.

It closed at RM 4.08 which is just below the 61.8% retracement level. MACD just made a bearish crossover and indicates more weakness going forward. The breakdown occurred on high volume indicating that investors were eager to get out of the stock.

A re-test of RM 3.58 cannot be ruled out. The next few trading days will be crucial. Let’s see if the stock can hold above RM 3.58.

Genting Bhd

Genting Bhd closed at RM4.52 on Wednesday.

The price is now within the Bollinger band and is sitting near the 20 day moving average. It looks like moving into consolidation phase.

The MACD indicator is above its signal line and is indicating further strength. The RSI indicator is moving up from oversold levels and is approaching the 50 level.

The stock is most likely able to hold on to support of RM4.30. Immediate resistance is at RM4.75.

KLCI Update

KLCI should see some strength today. The question is whether we will see a more sustain move or just a one day wonder.

MACD is still showing a bullish sign with the indicator above its 9 day signal line.

RSI is ticking up but is still below the 50 level. If it is able to get above 50 level, it will be bullish. The RSI indicator has not been above to clear the 50 level in all previous attempts and the last time the indicator was above 50 was in July 08.

The –DI is still above +DI which indicates a weak market. However, the ADX has come down as well. This means that we are not likely to experience the severe down move that we saw in the past 2 months.

The index was able to hold on to the 61.8% Fibonacci retracement level last week. If this support holds, there will be chance for the index to test 926.

Dow Support Level

Dow closed at 8424 on Tuesday, up 151 points. The index tested 7947 level, the low established on 13 Nov 08. It managed to rebound and claw back above the 8000 level. Buyers came in only in the last hour of trading.


The index looks to be forming a double bottom and has managed to find buyers whenever it hit below 8000. Next resistance level is at 8835 and support level is at 8085.