KLCI Market Trend Using Technical Analysis

Technical analysis is my weakest among the 3 areas I look at for my stock investment. I don't use it to speculate in momentum stocks but more for a feel for the overall medium to long term trend. I use a few indicators but these may change as I find others which better serves me.

Here's a snapshot of KLCI over 1-year taken on 11-Nov-2011.
Source: Barchart and Tradesignum

1. Simple Moving Average, SMA
The most useful indicator of the lot.
SMA(50) line has not crossed SMA(200).
Price has broke about SMA(400) but is still below SMA(200).
Until the index convincingly break above the SMA(200) line at 1509, we are still not quite bullish yet.

2. Moving Avg Convergence Divergence (MACD)
MACD shows very bullish signs.
Both the signal lines are above the 0-mark with blue-line crossed over red-line.

3. Slow Stochastic Oscillator
Slow Stochastic Oscillator is strongly bullish.
Blue line crosses above 50-mark from 20-mark moving towards 80-mark

4. Parabolic SAR
Price is currently above Parabolic SAR. A buy sign.

It appears that 3 out of 4 indicators show bullish signs. However, I place higher importance on SMA and the fact that SMA(200) which is a very crucial line,has not been broken, makes it very difficult for me to be bullish. And this is looking at Technical indicators alone. Bring in the macroeconomics and I'm pushed back into the bear region. The best I can call the October upshot is a bear rally. Use this chance to exit long positions and hold tight to dear cash.