KLCI for 4/6/12

FBMKLCI

KLCI opened 1573, moved down and the lowest was 1571, before rallying upwards to 1576 and closed somewhere around opening 1573.

A doji was formed from the last candlestick, indicates uncertainty; will it come to a tiny correction before rallying further, or will it change its direction and turn the other way round?

Level to look at is 1576, if it manages to break out upwards not? As we all know KLCI had been rallying for the past couple of days, though some other regional indices were down, KLCI still managed to closed nicely.  


However, due to the bad data report from payroll as of yesterday, unemployment growth from the US has turned out only 69,000 jobs been added in May vs forecast 150,000, the least since May last year; caused DJIA a plunge of -274.88 (-2.22%) points on Friday, Nasdaq -79.86 points (-2.82%) and S&P 500 -32.29 (-2.46%).


Some of the other bad news : 
Chinese factory output is barely growing - PMI : May 50.4 vs 53.3  April, expected 52.2.
Unemployment rate rose for the first time in almost a year to 8.2% May from 8.1% in April 2012.
A deepening debt crisis in Europe; European manufacturing falling deeper, Britain manufacturing activity shrank at its quickest pace in 3 years.


S&P has closed its lowest since early January 2012 and is now below the 200 days Moving Averages for the first time in 2012. 


Next support is at 1565; which is hovering around MA 7, 26 and also the 100 days. Followed by 1554 and 1530 as the support levels.


Mid term 50 days moving average had been broken, from its support level @ 1579, we shall see if it will continues to break the slightly longer term 100 days @ 1564. Therefore, 1564-65 levels should be monitored closely.