FKLI Daily Commentary for 18th Feb 2010

FKLI February Futures contract was traded 13.5 points higher as compare to previous trading session to settle at 1258 levels with a total of 4,126 lots traded in the market. FKLI opened and traded higher during trading sessions as Dow Jones was traded very encouraging while regional indices were traded higher during trading hours.
FKLI manage to penetrate previous resistance levels at 1257.5; 50% Fibonacci resistance levels range from 1295.5 to 1219.5 levels. Technically, FKLI currently affirm riding on rebound wave provided critical resistance level at 1295.5 was not violated while nearest resistance levels seen at 1266.5 and 1279.5 regions. RSI in the hourly price chart show minor bear divergence while Price Oscillator and MACD yet to show any sign of bear divergence. This provided further confident that FKLI currently riding on rebound wave instead of bull market. However, support levels at 1255 and 1244 regions must be violated in order for the downtrend to resume.