KLCI Technical Analysis Report 17th Dec

Market Review for KLCI:
The benchmark FTSE KLCI opened mixed today near to the yesterday’s close. In mid morning, buying pressure is seen in most of the stocks through buying support for blue chips and selected heavyweights.

KLCI Day Performance
Open	1673.04	% Change	0.48%
High	1691.99	Volume	1943.6M
Low	1671.82	Rise	648
Close	1681.90	Fall	257
Change(Points)	7.96	Unch	1677

Market forecast for KLCI:
Market signalized to reverse its trend by taking support at 1680.

KLCI LEVELS
Support 1	Support 2	Support 3	Resistance 1	Resistance 2	Resistance 3
1740	1720	1700	1790	1805	1820

Technical indicators:RSI stood below the center line at 26.811 with its CCI at -139.75. Difference line of MACD performed at -33.063 below its signal line which performed at -23.549.

Top Gainers			Top Losers
Scrip Name	CMP	%change	Scrip Name	CMP	%change
UEMS	1.46	6.57	TM	6.45	-2.27
SKPETRO	2.2	5.77	MAXIS	6.44	-1.98
PCHEM	4.93	3.57	HLFG	15.82	-1.86
GENM	4.07	2.78	BAT	63.78	-1.51
ASTRO	2.92	2.46	AXIATA	6.8	-0.29

Economic Factors:

• The World Bank has projected Malaysia’s economy to grow by 5.7 per cent in 2014 and 4.7 per cent in 2015. Growth will be underpinned by robust domestic growth, against a less favorable external outlook.
• RHB Research expects another challenging year next year for banks amid a softer macro backdrop, tighter liquidity and rising concerns over assets quality. Retaining its ‘neutral’ call on the banking sector, RHB Research said the majority of the headwinds would be largely similar to those seen this year, although the macro backdrop has turned more volatile.
• The ringgit opened slightly lower against the US dollar and mostly easier against other major currencies.
• Weak global demand, oil price slump hit rubber prices, Natural rubber prices, which are already at five-year lows, are expected to weaken further in the near term, dragged down by poor global demand and falling oil prices.
• Gold futures contracts on Bursa Malaysia Derivatives continued downtrend for the second consecutive day, tracking overnight losses on the US Commodity Exchange’s (Comex) gold futures.
• Gamuda Bhd posted a net profit of RM185.84 million in its first quarter ended October 31 2014, up 12.3 per cent from RM165.48 million a year ago. Revenue rose to RM569.64 million from RM486.12 million previously. Gamuda attributed the rise to higher contributions from its property, water and expressway concession divisions. The higher revenue was due to stronger contributions from its expressways.
• Top Glove Corp Bhd’s net profit fell three per cent to RM48.68 million in the first quarter ended November 30 from RM50.27 million in the same period a year ago due to costlier fuel and knock-on inflationary impact.