Technical Analysis - May 19 2008

S&P500 Chart (1,425, last week 1,388)

The daily charts has strenghtened during the week. For weekly charts, MACD is still improving on positive cross over and it has now improved to -10 from -16 a week ago. The MACD Hist is positive. The DMI (+ & -) is weakening albeit closer with no hook up and the ADX seems to deteriorated a little (ie from 24 a week ago to 22). The index is improving and needs to stay above 1,414 to maintain its uptrend. The index is expected to trade between 1,400 and 1,444.

KLSE CI (1,301, last week 1,285)

The daily charts has improved during the week. The daily MACD managed to stay above water and continuing its uptrend. The daily DMI (+ & -) has a positive hook up while the ADX has improved(now 19 from 17 a weak ago). Weekly indicators are still showing slight downward pressure but is better than last week. The index has to make sure it stays above the 1,297 to avoid falling out of the uptrend channel created since March this year. The index is expected to trade between 1,285 and 1,340.

HangSeng (25,619, last week 26,241)

The daily charts are still weakening as evident from the MACD. The weekly DMI (+ & -) has a slight negative hook down and the ADX is at 19(last week 20). The MACD has crossed positively over at -46 from -138 a week ago and MACD Hist is also positive. The Daily Indicators needs to improve this week for uptrend to continue. Immediate support is at 24,800 while resistance is at 26,400.

Nikkei 225 (14,236, last week 13,655)

The daily charts improved during the week. For weekly charts, MACD has positive crossover and improved to -400 from -495 a week ago and the MACD Hist is positive. The DMI (+ & -) are improving but no cross over yet. The ADX has weakened at 30 but still indicating the strong trend is still intact. The index has broken the resistance of 14,200 and is expected to trade on the uptrend between 14,000 to 14,600.

* Happy Wesak to everyone! Wesak Day is an annual holiday observed by practicing Buddhist in Cambodia, Sri Lanka, Malaysia, Myanmar, Thailand, Singapore, Vietnam, Indonesia, Hong Kong and Taiwan. It is a day where it represents the significance of "The birth, enlightenment and passing away of Buddha"