20080109 Following on from the daily chart analysis, we were dead wrong on the resistance holding (that is the folly of engaging in longer term forecasting). However the next course of action would be for the KLCI to head for the upper extended target line. Watch for a pull back to get into long positions.(remember position taking is a longer term endeavoour and needs different risk management from intraday setups.)

The KLCI resembles the SHICOM (Shanghai Composite Index China) in early 2007.(top chart) The middle chart shows the outcome. Will this pattern repeat in the KLCI? Different markets, but recurring chart patterns. Time will tell.
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