KUALA LUMPUR (Aug 12): The FBM KLCI fell 31.01 points or 1.83% at 3pm to 1,605.70, amid a regional decline as investors’ sentiment is impacted by China’s move to devalue its currency.

In a note, AllianceDBS Research said the benchmark index continued its losing streak, as sellers are still dominating the market, noting that the benchmark index had lost about 110 points over the last six market days, as at its closing of 1,636.71 yesterday.

“Following the down close on Aug 11, the market is likely to test the immediate support zone of 1,600-1,625, with an overhead resistance pegged at 1,660. Indicator wise, the MACD (moving average convergence divergence) is below the 9-day moving average line,” said the research house.

Some 1.61 billion shares worth RM1.28 billion were traded on the exchange, with 946 decliners against 66 gainers. Meanwhile, 139 counters were unchanged.

Dutch Lady Milk Industries Bhd led the decliners on the board, while the Hang Seng index put warrant HSI-HI headed the gainers. The top actively-traded counter was KLCI put warrant FBMKLCI-HK.

Regionally, Japan’s Nikkei 225 fell 1.58%, Hong Kong’s Hang Seng declined 2.39%, while South Korea’s Kospi was down 0.56%.

Reuters reported Asian stocks and emerging market currencies tumbled on Wednesday and commodities fell after China let the yuan fall sharply for a second straight day, forcing investors to seek refuge in safe-haven government debt.

It said MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS fell 2.1% to a two-year low, while stock markets from Australia to Singapore were a sea of red.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)