Malaysia KLCI Steady; Adopt Cautious Stance -Maybank

28 Aug 2012

Malaysia's KLCI remains steady at 1647.43 in choppy two-point trade and amid losses in most Asian stock markets.  Maybank IB says technical signals are mainly positive but investors should adopt a "very cautious investment stance" in the near term; "there are obvious bearish divergent chart signals depicting technical tiredness at lofty levels," it says.  The house tips support and resistance at 1646 and 1655 respectively. Market breadth is negative at 377 losers and 223 gainers with 646.9 million shares changing hands.  Among losers, Malayan Banking (1155.KU) is down 0.5% at MYR9.13 and Sime Darby (4197.KU) is down 0.1% at MYR9.79. Among gainers, YTL Corp (4677.KU) is up 0.5% at MYR1.85 and Axiata Group (6888.KU) is up 0.3% at MYR6.00.