Bursa Malaysia : KLCI Weekly Technical Report

Weekly wrap of KLCI:
The market remain in red territory this whole week, following the downtrend. Bursa Malaysia ended lower today with the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) closing 7.79 points or 0.42 per cent easier at 1,824.19, as profit taking emerged in the second session. The key benchmark index traded within a 17.21-point range Friday, hitting a high of 1,841.40 earlier in the first session and fell to its lowest at close. 

Profit taking interspersed with buying interest, as several heavyweight stocks had already rebounded from recent profit taking. Index-linked companies that has recovered from recent profit taking were British American Tobacco which soared RM2.50 to RM68.00, Petronas Gas rose 10 sen to RM22.00, MISC earned 13 sen to RM7.38, while Maybank added one sen to RM9.66.

Meanwhile, Petronas Chemical led the losers among FBM KLCI component stocks, dipping 22 sen to RM5.89, while Sime Darby and Genting eased 12 sen each to RM9.60 and RM9.46, respectively, while Public Bank shed 10 sen to RM18.24.

Sector-wise, the Industrial Index advanced 9.96 points to 3,293.16, the Finance Index dwindled 44.10 points to 16,594.96 and the Plantation Index shed 24.40 points to 8,474.28.

FBMKLCI WEEK’s Performance
Open	1827.76
High	1841.40
Low	1824.19
Close	1824.19
Change(Points)	-7.79
% Change	-0.43%

Market forecast for KLCI:
We could see better trading next week, as trade figures has continuously shown improvement.

KLCI LEVELS
Support 1	Support 2	Support 3	Resistance 1	Resistance 2	Resistance 3
1813	1796	1764	1840	1859	1879

Technical indicators:RSI for this week is 45.034 with CCI at -60.057. Besides, difference line of MACD (7.383) stood below its signal line (2.556).

Sector Allocation Chart

SECTOR	CHANGE	%CHANGE	HIGH	LOW
CONSUMER	9.96	0.3	3,311.29	3,265.70
IND-PROD	3.51	0.6	584.92	582.02
INDUSTRIAL	0.3	1.63	18.8	18.48
MINING	-0.65	-0.05	1,443.02	1,437.67
PLANTATION	-0.65	-0.27	241.4	239.58
PROPERTIES	-1.5	-1.08	139.54	137.44
TECHNOLOGY	-3.61	-1.16	311.87	307.99

Economic Factors:

• The Malaysian rubber market rebounded to close higher today, lifted by positive external news amid the weakening of the ringgit against the US dollar
• The ringgit reversed its earlier gains to close the day easier against the US dollar on the back of weak risk appetite for the local unit.
• The FTSE Bursa Malaysia KLCI (FBM KLCI) is likely to breach the 2,000 points level by end-2015, following positive external factors.
• Malaysia’s ringgit completed its biggest weekly decline in more than a year as crude oil prices dropped to the lowest level since 2011.
• The FTSE Bursa Malaysia KLCI (FBM KLCI) is likely to breach the 2,000 points level by end-2015, following positive external factors.
• MISC Bhd's pre-tax profit for the third quarter ended September 30, 2014 rose to RM510.52 million compared with RM444.42 million in the same period last year.
• Malaysia's total trade in September 2014 improved 1.6 per cent to RM119.72 billion from RM117.88 billion a year ago, while the trade surplus was recorded at RM9.33 billion.
• Petronas Chemicals Group Bhd's (PChem) to be on hold as earnings are cyclical and its fourth quarter (Q4) tends to be the best quarter.
• AmBank (M) Bhd, being a connected party to Malaysian Airline System Bhd (MAS), by virtue of AmInvestment Bank Bhd as the independent adviser to the airline company has disposed 170,000 shares in MAS at 26.5 sen.
• Westports Holdings, which reported an after-tax profit of RM141 million, up 33 per cent, for the third quarter ended September 30, 2014.
• Maybank IB Research expects the overnight policy rate (OPR) to likely be reviewed in the second half of 2015 as Bank Negara Malaysia's (BNM) assessment is that the current level is accommodative and appropriate.