Genting's price trend is now poised to move towards its immediate overhead resistance zone of RM12-00-RM12-50-Share prices on Bursa Malaysia staged a late rebound to round off the Year of the Tiger on February 2- With that, the FTSE Bursa Malaysia Kuala Lumpur Composite Index (FBM KLCI) traced out a lunar year-on-year (February 4 2010 to February 3 2011) gain of 264-67 points, or 20-89 per cent, to close at 1,531-82 on Wednesday-Key heavyweight index-linked counters once again led the market rebound- The FBM KLCI rebounded from an intra-week low of 1,505-85 last Monday to an intra-week high of 1,536-27 last Wednesday, giving an intra-week trading range of 30-42 points-The FBM KLCI posted a week-on-week gain of 9-93 points, or 0-65 per cent- Among other indices, the FTSE Bursa Malaysia Small Cap Index gained 196-04 points, or 1-50 per cent, to 13,228-38 while the FTSE Bursa Malaysia ACE Market Index jumped 161-49 points, or 3-80 per cent, to 4,414-29- On the foreign front, sentiment on the New York Stock Exchange remained relatively firm- The Dow Jones Industrial Average closed higher at 12,092-15 on Friday, giving a week-on-week gain of 268-45 points, or 2-27 per cent- The S&P 500 index, a broad measure of the stock markets, rose 2-70 per cent at 1,310-87 points-In Hong Kong, the benchmark index continued to stay above the 23,000 level- The Hang Seng Index closed at 23,908-96 points last Wednesday, giving a week-on-week gain of 291-94 points, or 1-24 per cent-Tokyo's Nikkei 225 Index continued to remain above its critical support of 10,000 last week- It closed at 10,543-52, giving a week-on-week increase of 183-18 points, or 1-77 per cent-On Bursa Malaysia, Genting Bhd staged a technical rebound last week- Its daily price trend rebounded to close at RM11-34 on Wednesday, posting a week-on-week gain of 50 sen, or 4-61 per cent-The following are the readings of some of its technical indicators:Moving Averages: Genting's daily price trend stayed above all its 10-, 20-, 30-, 50-, 100- and 200-day moving averages- Momentum Index: Its short-term momentum index continued to stay above its neutral reference line last week-On Balance Volume (OBV): Its short-term OBV stayed below the support of its 10-day moving averages-Relative Strength Index (RSI): Its 14-day RSI had since stayed above the 50 level- Its technical reading stood at the 54-47 per cent level at the market close last Friday-OutlookLast week's market rebound was once again led primarily by the key heavyweight index-linked counters, particularly Kuala Lumpur Kepong Bhd (+26 sen, or +1-22 per cent), DiGi-com Bhd (+16 sen, or +0-63 per cent) and Sime Darby Bhd (+13 sen, or 1-42 per cent)- Select heavyweight blue chips emerged with some interesting play- Genting was one of these counters with a week-on-week gain of 4-61 per cent-Genting, its subsidiaries and affiliates have five listed companies in three jurisdictions with a combined market capitalisation of over RM143 billion as at December 31 2010- These listed companies are involved in various businesses, including leisure and hospitality, power generation, oil palm plantations, property development, biotechnology, and oil and gas-Chartwise, Genting's monthly price trend staged a technical breakout of its overhead resistance and had since continued to stay above it- Its weekly price trend staged an overhead breakout of its immediate overhead resistance (See Genting's weekly price chart B1:B2) for the week ending last Wednesday-Genting's daily price trend staged a technical breakout of its short-term downtrend resistance (See Genting's daily price trend C3:C4)- Its daily price trend continued to stay above its intermediate-term uptrend support (C1:C2)-Its daily, weekly and monthly fast MACDs (Moving Average Convergence Divergence indicators) continued to stay above their respective slow MACDs at the market close last Friday- The bullish configurations bode well for its near-term perspectives-Its 14-day Relative Strength Index (RSI) stood at the 54-47 per cent level last Friday- Its 14-week and 14-month RSIs were at the 63-63 and 73-70Following the successful breakout of its short-term downtrend resistance (C3:C4) on its daily price chart, Genting's price trend is now poised to move towards its immediate overhead resistance zone (RM12-00-RM12-50)-The subject expressed above is based purely on technical analysis and opinions of the writer- It is not a solicitation to buy or sell-...
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