Wednesday, August 3, 2011

Stalling Economy

PpR3

1570.25

PpR2

1564.37

PpR1

1561.19

Pivot Point

1555.31

PpS1

1552.13

PpS2

1546.25

PpS3

1543.07

Open

1558.02

High

1558.84

Low

1553.39

Close

1554.85


FBMKLCI open above pivot point and at previous day close. It went up but just below R1 before stumbling down above S1. It close lower than open to register a small bearish candle. Yesterday candle is also a NK7.

With the index inability to cross over the 10d MA for two straight day and flat to negative slope for 50d MA, the index is being pressure for downturn.

Fundamentally, regional bourses have move away from worrying about U5.S. debt woes and are more concerns about a sluggish economic situation.

Major global stock markets stumbled badly, while gold hit a record high, as a report showing U.S. consumer spending fell unexpectedly in June for the first decline in nearly two years as incomes barely rose.

That followed data on Monday showing manufacturing activity stalled in July, which mirrored similarly weak reports from Asia and Europe.

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