Bursa Malaysia Technology Index - Bullish Break of Structure
Over the past six months, the Bursa Malaysia Technology Index has exhibited moderate performance, reflecting the global tech sector's fluctuating conditions. The index saw a notable uptick in the last quarter of 2023, driven by a rebound in semiconductor demand and increased investments in digital infrastructure. However, it faced headwinds in early 2024 due to concerns over global supply chain disruptions and rising interest rates impacting tech valuations. Overall, the index demonstrated resilience with a gradual recovery in recent months, although it remains below its peak levels from the previous year.
Supported with the Nasdaq Composite Index, a prominent benchmark for U.S. tech stocks, has been relatively strong, reflecting the interconnected nature of the global tech market. When the Nasdaq experienced a surge in late 2023, fueled by impressive earnings from major tech firms and positive investor sentiment, the Malaysia Technology Index mirrored this trend with a delayed but noticeable rise. Conversely, when the Nasdaq dipped due to regulatory pressures and inflation fears, the Malaysia Technology Index also saw declines, albeit to a lesser extent. This correlation underscores the global tech sector's sensitivity to macroeconomic factors and investor sentiment, influencing market performance across different regions.
Last week we can see that the index became one of the factors that lifted the FBM KLCI Index to make new high as the index made a valid Bullish Continuation Pattern by making Break of Structure on Thursday with a bullish closing on Friday.
There are two key things that are worth to be observed:
1. Bullish Break of Structure (BoS) at 69.91 on Thursday.
2. To observe rejection at the area of weekly supply around 75.00 to 80.00 confluence with the fibonacci area.
3. Minor supports at the area 66.64, 62.20 and 60.53.
A break below 56.93 is a sign of Bearish Change of Character (ChoCh) where the index changes the trend from bullish to bearish.
Disclaimer:
The information provided is for educational and informational purposes only and should not be construed as financial advice. Before making any investment decisions, individuals should conduct thorough research and consider their financial situation, risk tolerance, and investment objectives.
Investing in stocks involves significant risk and may not be suitable for all investors. The value of stocks can fluctuate and may result in partial or total loss of investment capital. Past performance is not indicative of future results.
Furthermore, the content provided does not constitute a solicitation or recommendation to buy, sell, or hold any particular security or investment strategy. Investors are encouraged to consult with a qualified financial advisor or investment professional before making any investment decisions.
All investments carry risks, including the risk of loss of principal. Investors should be aware of the potential for volatility, market fluctuations, and geopolitical events that may impact the value of their investments.
Investors are solely responsible for their investment decisions, and any reliance on the information provided is at their own risk. The author and publisher of this disclaimer disclaim any liability for any direct, indirect, incidental, or consequential damages arising out of or in connection with the use of the information provided herein.
Supported with the Nasdaq Composite Index, a prominent benchmark for U.S. tech stocks, has been relatively strong, reflecting the interconnected nature of the global tech market. When the Nasdaq experienced a surge in late 2023, fueled by impressive earnings from major tech firms and positive investor sentiment, the Malaysia Technology Index mirrored this trend with a delayed but noticeable rise. Conversely, when the Nasdaq dipped due to regulatory pressures and inflation fears, the Malaysia Technology Index also saw declines, albeit to a lesser extent. This correlation underscores the global tech sector's sensitivity to macroeconomic factors and investor sentiment, influencing market performance across different regions.
Last week we can see that the index became one of the factors that lifted the FBM KLCI Index to make new high as the index made a valid Bullish Continuation Pattern by making Break of Structure on Thursday with a bullish closing on Friday.
There are two key things that are worth to be observed:
1. Bullish Break of Structure (BoS) at 69.91 on Thursday.
2. To observe rejection at the area of weekly supply around 75.00 to 80.00 confluence with the fibonacci area.
3. Minor supports at the area 66.64, 62.20 and 60.53.
A break below 56.93 is a sign of Bearish Change of Character (ChoCh) where the index changes the trend from bullish to bearish.
Disclaimer:
The information provided is for educational and informational purposes only and should not be construed as financial advice. Before making any investment decisions, individuals should conduct thorough research and consider their financial situation, risk tolerance, and investment objectives.
Investing in stocks involves significant risk and may not be suitable for all investors. The value of stocks can fluctuate and may result in partial or total loss of investment capital. Past performance is not indicative of future results.
Furthermore, the content provided does not constitute a solicitation or recommendation to buy, sell, or hold any particular security or investment strategy. Investors are encouraged to consult with a qualified financial advisor or investment professional before making any investment decisions.
All investments carry risks, including the risk of loss of principal. Investors should be aware of the potential for volatility, market fluctuations, and geopolitical events that may impact the value of their investments.
Investors are solely responsible for their investment decisions, and any reliance on the information provided is at their own risk. The author and publisher of this disclaimer disclaim any liability for any direct, indirect, incidental, or consequential damages arising out of or in connection with the use of the information provided herein.
