DJIA soared 2113 points or 11.4% to close at 19722 yesterday. The huge rebound happened after Fed's aggressive monetary easing as well as buying of bonds plus progress made in drafting a huge spending bill of USD 2 trillion to support American consumers and businesses from the fallout from Covid-19.
Chart 1: DJIA's daily chart as at March 24, 2020 (Source: Stockcharts.com)
DJIA tested the horizontal line at 18000 before rebounding. Its immediate resistance will be the psychological resistance at 20000.
Chart 2: DJIA's weekly chart as at March 24, 2020 (Source: Stockcharts.com)
This morning, our FBMKLCI broke above the resistance from the narrow gap at 1320. As at 9:30 a.m., FBMKLCI was up 44 points to 1335. After this, the next resistance will be at the psychological level of 1400 and the gap at 1415.
Chart 3: FBMKLCI's daily chart as at March 24, 2020 (Source: Malaysiastock.biz)
Like the rallies in the US markets, our rally is extremely sharp due to the very steep fall which
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