Dow Jones: 18,053.60 pts (+49.44pts, +0.27%)
Wall Street extended its uptrend position for another day on the back of buying interest; the Dow stayed above the 18,000 level, while the S&P 500 closed above the 2,100 level for the first time since 1st of Dec. US Dollar fell to its weakest level since June.
FBM KLCI: 1,711.15 pts (-6.53pts, -0.38%)
Despite the strong sentiments from the US stockmarkets, the FBM KLCI traded below the EMA20 level led by Maybank and Genting. The FBM KLCI is likely to turning into a pullback mode and revisit the 1,700 level.
Crude Palm Oil: RM2,688 (+RM20, +0.75%)
CPO rebounded for another day above the EMA9 level as dry weather continues to stay over the near term. The CPO prices may extend its position towards the RM2,800 level.
WTI Crude Oil: $41.08 (+$1.30, +3.22%)
Crude oil snapped a 5-day losing streak as a strike in Kuwait cut output from OPEC’s fourth biggest member and the tumbling dollar bolstered demand for commodities.
Gold: $1,250.19 (+$17.47, +1.42%)
Gold managed to rebound above the immediate support of $1,224. Expect the price to rally towards the $1,284 level.
Economic Releases:
US MBA US Mortgage Market Index – 20 Apr 16, 7:00PM
US Existing Home Sales – 20Apr16, 10:00PM
Bursa Malaysia Trade Statistics - 19 Apr 16
Institutions: Net BUY 52.8 mln (64.8%)
Retail: Net Buy 8.3 mln (15.2%)
Foreign: Net SELL 61.1 mln (20.0%)
Potential Momentum Stocks (20 Ap r16):
Stock Name: HHGROUP (0175)
Entry: Buy above RM0.43
Target: RM0.475 (10.5%), RM0.55 (27.9%)
Stop: RM0.41 (-4.7%)
Technical: Short term breakout
Stock Name: TEKSENG (0102)
Entry: Buy above RM1.11
Target: RM1.28 (15.3%)
Stop: RM1.08 (-2.7%)
Technical: Sideways breakout
Source: Bloomberg, M+ Online
Despite the Dow ending above the 18,000 psychological level, the FBM KLCI endured some selling activities among Maybank and Genting – resulting in the key index falling below the EMA20 level. The MACD Histogram has extended another red bar, while the RSI is below 50. Upsides will be capped around 1,730, while the support will be pegged around 1,700.
HHGROUP experienced a strong consolidation breakout above the RM0.42 level with high volumes. The MACD Line has crossed above zero, but the RSI is overbought. Price may rally towards the RM0.475 level and RM0.55 level after a short consolidation phase. Support will be set around the RM0.39 level.
ESCERAM has rebounded off the RM0.515 level and breakout above the RM0.525 level with improved volumes. The MACD Histogram has turned green. The RSI, however, is hovering below 50. Price target will be envisaged around the RM0.565 and RM0.605 levels. Support will be anchored around the RM0.515 level.
TEKSENG has experienced a consolidation breakout above the RM1.11 level with higher-than-average volumes. The MACD Indicator is trending higher above the zero level. The RSI continues to hover above the 50 level. Price may rally towards the RM1.28 level over the near term. Support will be pegged around the RM1.08 level.
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Daily Market Update - 20 Apr 2016 (HHGROUP, TEKSENG)
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