Market Outlook as at November 13, 2015

FBMKLCI tested & failed to cross their intermediate downtrend line. See Chart 1.


Chart 1: FBMKLCI's weekly chart as at Nov 13, 2015_10.00am (Source: ShareInvestor.com)

FBM70 Index (representing the 2nd liner stocks) is set to test its intermediate downtrend line. Its MACD, ADX & Slow Stochastic are however showing some weakness- possible sign of a possible failure to break above the downtrend. See Chart 2.


Chart 2: FBM70's weekly chart as at Nov 13, 2015_10.00am (Source: ShareInvestor.com)

Meanwhile the small-cap stocks, ACE Market stocks & fledging stocks are putting in a better showing than their big brothers. FBMSCAP has just broken above its intermediate downtrend line (see Chart 3).


Chart 3: FBMSCAP's weekly chart as at Nov 13, 2015_10.00am (Source: ShareInvestor.com)

FBMACE has also broken above its medium-term downtrend line & continues to rally (see Chart 4).


Chart 4: FBMACE's weekly chart as at Nov 13, 2015_10.00am (Source: ShareInvestor.com)

The biggest surprise of all: FBMFLG has broken above its medium-term downtrend line and may soon revisit its August-September 2014 high (see Chart 5).


Chart 5: FBMFLG's weekly chart as at Nov 13, 2015_10.00am (Source: ShareInvestor.com)

These charts show clearly that fund managers are raising cash & staying sideline while small players are rushing in where angels fear to tread. Let the Edge Daily November 11 front-page be a warning to those who threw caution to the wind. Be careful out there!


via the Edge Daily