Market Outlook as at March 20, 2020

Finally, FBMKLCI has a decent rally. As at 2:55 p.m., FBMKLCI was up 66 points to 1284. At this moment, we should just regard this as a technical rebound! Nonetheless, it is still very good as it has surpassed the reaction high of 1278 recorded on March 17. It might continue to climb higher and test the low of 1325 recorded on March 13.

Table: Leading movers as at March 20, 2020_2:55 pm


Chart: FBMKLCI's 60-min intraday chart as at March 20, 22020_2.55 pm (Source: Malaysiastock.biz)

A market with occasional strong technical rebound will draw in investors who like to buy good blue chip stocks for long-term investment. This will help to cushion the sharp decline which we had seen for the past few days. Having said that, we may not have seen the bottom in this market. Be careful and buy slowly.