FBMKLCI finally closed above daily 200ma today, which shows the strong intention of buying momentum. The strong positive closing in these few days was legitimate and robust buying pressure, confirmed by expanding volume, these movemenst were real uptrend, they were not mere window dressing activities.

Once FBMKLCI successfully hold above (or retest) daily 200ma, it will be an official confirmation for the resumption of larger degree uptrend in FBMKLCI.

(disclaimer: the 'Wave 3' path is just an illustration, I don't have divine power to predict how Wave 3 will proceed)

If we stepback from the daily chart and look at the FBMKLCI weekly chart, the following deductions can be made.
To recap, 2014-2016 (rectangle box) was a mini bear for FBMKLCI.
Then, the movement of FBMKLCI in 1H 2017 (circled) was regarded as the wave 1 of the new bull market,
Then in 2H 2017, the six months correction which ended recently is counted as wave 2 which corrects the wave 1 movement.

Now FBMKLCI is potentially embarking Wave 3 of the bull market (once daily 200ma retest is confirmed).
Remember that wave 3 is usually the strongest and longest for an Elliottwave formation, which means we still can see much much much much MUCH more upside in FBMKLCI.

If you don't understand what I'm talking, Google and learn about ElliottWave theory, life is an endless learning journey, so this will be your homework.
At least you are informed now, so don't be surprise if FBMKLCI creates higher and higher and higher all time high in the near future.

 

Refer to my previous articles for more macro explanation that justify this upcoming rally.