Bursa Malaysia (KLSE): KLCI Technical Analysis Report

Market Review for KLCI: The KLCI extended its losses at midday, closing lower at 1712.30 points amid overnight weaker performance in US market on heightened risk that Greece may exit the Eurozone. Local sentiment continued to be dented by the decline in Malaysian ringgit.

The FBM KLCI index lost 4.75 points or 0.28% on Tuesday. Finance Index fell 0.39% to 15393.32 points, Properties Index dropped 0.35% to 1206.9 points and Plantation Index rose 0.29% to 7441.79 points. The market traded within a range of 9.39 points between an intra-day high of 1718.03 and a low of 1708.64 during the session.

Market forecast for KLCI: The FBM KLCI index can trade range bound in between 1730 to 1706 in coming trading session as the investors are still cautious about the Greece exit from Euro zone which can lead to a negative market condition.

Technical indicators: RSI stood below the center line at 40.488 with its CCI at -82.338. Difference line of MACD performed at -11.277 below its signal line which performed at -14.088.

GLOBAL FACTORS AND WORLD INDICES:

• Asian markets mostly recovered on Tuesday from the previous day's Greece-fuelled sell-off, but Shanghai sank again as analysts warned government measures to staunch a recent rout will likely not be enough.
• Eurozone leaders will hold an emergency summit in Brussels on Tuesday to discuss the fallout from Greek voters' defiant "No" to further austerity measures, with the country's Prime Minister Alexis Tsipras set to unveil new proposals for talks
• Hong Kong equities retreated 1.03 per cent, extending the previous day's losses and tracking another sell-off in mainland markets, with Chinese firms listed in the city tumbling.
• China's benchmark Shanghai stock index closed down 1.29 per cent on Tuesday, narrowing earlier losses but still ending the day lower despite recent government efforts to boost the market, dealers said.
• Greece's full-blown debt crisis and Puerto Rico's unfolding one have dominated headlines all week, but some of the biggest US investors have China at the top of their worry lists.
• A Malaysian task force has ordered a freeze on six bank accounts believed linked to a money trail that allegedly showed funds from a state investment company ending up in Prime Minister Najib Razak's personal accounts
• Crude oil prices steadied on Tuesday, after posting one of their biggest selloffs this year in the previous session over Greece's rejection of debt bailout terms and China's ongoing stock market woes.
• Tokyo stocks rose 1.31 per cent on Tuesday, clawing back some of the previous day's losses fuelled by Greece's austerity vote, which analysts said was overdone.