Malaysian shares prices are expected to trade higher after the key composite index broke the psychological 900-point level but there could be bouts of weakness, dealers said.
They said the psychological 900 points level would be the crucial support level but if it gives way the rebound could become undone.
"What remains now is whether the rebound will be sustained as the key index is already near our envisioned short-term recovery target of 900-903 points," said Victor Wan, a senior analyst at Mercury Securities.
"As the recovery momentum is still building up, there is still room for further recovery with the next target pegged at around the 910 region," he said.
However, the upsides will not be "plain sailing given that market participation is still thin as investors are assessing the sustainability of the current rebound," he warned.
"The market could be choppy and punctuated by bouts of market weakness."
For the week ending November 18 the Composite Index gained 3.37 points to 901.72 points or 0.375 percent.
Average daily volume was 254.458 million shares worth 574.084 million ringgit (152.3 million dollars) compared to 269.94 million shares valued at 671.34 million ringgit in the previous week.
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