STI Mid-week updates

Trend: Sideway, downwards bias

Last week, we said that the market has turned and the trend is up. We were spot on. STI rebounced with 6 sessions of green, moved up from 3100 to the 3180 level. So what could we expect next? Will STI continue with its up trend?

STI 3180 is a strong resistance the wave must cross and remain to continue with this up trend. After continuous sessions of green the waves are showing exhaustion. In addition, the waves are now ebbing up on low volume. There is a high chance that the market will drift lower from here. And will do so until the end of June. The first support level is STI 3100. STI 3100 support must hold, otherwise the next support level is 3050. As such, if you are intermediate trader, you may like to sell your positions and stay sideline for the correction. Short term traders who have held on to their positions from our call last week may like to realise the profit now, and stay sideline as STI approaches its 3180 resistance.

STI Mid-week updates

Trend : Up

We were spot on that STI stayed sideway with a downward bias in our last update. What does the waves tell us from here on?
STI 3100 held up to the bear onslaught very well. Signs are showing that a rebound is in the pipeline. This is a good opportunity to pick up stocks. Intermediate traders may like to go long and hold the stocks till STI nears its resistance at STI 3180. Short term traders may go long and be prepared to hold on the stocks till next week for more gain.  

Trend : Sideway

The election rally that started a couple of weeks ago is now losing strength and momentum. STI likely to be aimless for this week, until 7 May, election day. A potential trend reversal to the downside may occur. A violation below the 3150 support is the signal. With a sideway market and a potential bear at the sideline, intermediate traders may like use this  week to reduce their positions. Short term  traders may like to stay sideline until the market direction is clearer.

Trend: Sideway, downside bias

Instead of charging through 3200, STI went sideway last week; range bound by about 60 pts. This is a sign that the bull waves that started a month ago has lost its momentum. The sideway trend is likely to continue into this week. STI failure to break 3200 last week, will make it even for difficult to break 3200 this week. As such STI is expected to range bound between 3180 to 3120. Intermediate terms traders may like to take some profit and to recover some capital on their long positions. And wait for opportunity to buy on dip. Short term traders may like to stay sideline this week.

STI Weekly Preview

Trend: Bull trend intact.

The election really is still strong. And should be able to carry STI pass 3200 before the middle of next week. After which there may be a minor pull back before it continue to challenge the 3270, previous high.
Next week the focus is on earnings in US. Unless there are major earning disappointment, STI should continue to charge upwards. Long term traders, who have bought 2 weeks ago, should continue to hold their position. Short term holder may like to sell on really and to buy again on the pull back. 

STI Weekly Preview

Trend: Up

The election rally has began. STI is going to enjoy multi-weeks up trend from this point onwards. It may pull back a bit to let off some steam for the continuous rise from last week. This pull back will present an opportunity to pick up some stocks. Long term traders (who have closed their short recently) can now turn around and go long during any pull back opportunity. Short term traders may like to buy as the stock is moving up to ride the up tide.

STI Weekly Preview

Trend: Down

Looking at last week strong waves up chart, the rebound took SIT back to pre-Japan earthquake level. If STI can sustain at this level, we might be in the midst of the formation of a bottom. Technically this is an important week. We should be able to confirm this bottom by early next week. In the meanwhile, the trend is down and we should see STI backing down to the 3030 support level. Intermediate traders may like to close the short positions from Feb and stay sideline until the bottom is formed. Short term traders may like to buy at critical support and sell on rebound.

Trend: Down

Last week, STI followed Japan plunge and broke its 3000 support. Repeated bad news gave it litttle chance to rebound. Will this trend continue or will STI stage a rebound this week?

The waves says STI to go down to the next support level at 2870. From this level, it might stage a rebound. The rebound's resistance is at 3000. Problem at Japan and ME are still the wild cards that can bring disruption to STI movement. Intermediate traders may like to hold short from last week but watch the strength of the rebound at support level. Short term traders may like to stay sideline.

STI Weekly Preview

Trend: Sideway.

Last week, we were spot on. STI gained some ground in the initial week but quickly gave way as the week progress and drop back to where it started. So with the catastrophe in Japan on Friday, what can we expect this week?

Earthquake in Japan + problem in ME + down grading of Spain in EU does not equal to market collapse. According to the charts, we could even see some strength in the first part of the week. Do not be attracted by the resilience but use it as an windows to reduce your exposure to the market. This is because the market is getting fragile after being battered by the 3 issues mentioned. Intermediate traders may like hold short at resistance. Short term traders may like to buy on dips in early part of the week and sell on rebound.

Weekly Upadate

Trend : Sideway

The strength of the wave to go further up has dissipated. STI is likely to fall back to 3030 in the early part of the week, followed by weak rebound back to its current level (3080). STI is range bound and a new catalyst is needed for it to move up. Trouble at ME and rising oil price continue to plague STI. Short term traders may like to buy at support and sell on rebound. Intermediate traders better stay sideline until the trend is clearer.  

STI Weekly Preview

Trend: Sideway

STI has broke its 200MA and ended the week at the 3000 region with a rebound on Friday. Is this a change in trend or a dead cat bounce?  Will it rebound and recover some ground this week?

Unfortunately the chart does not indicate any rebound. And any rebound is likely to be weak and range bound. STI will likely move sideway for a better part of this week. If STI can hold its ground around the 3000 region, then we may see some strength the following week. If STI unable to hold ground at 3000, the next stop is 2940.  Traders are better to stay sideline in this market.

STI Mid-week updates

Trend : Down

After consolidating around the MA200d, STI has made the decision to head further south, breaking all major support. We are now at 3000 region and can see from the chart that the next support is the 2940 region; another 60 pts away before we can see any relief. Trouble at ME and an over bought US market will provide the pricks to deflate STI to the 2940 region by next week.

Trend: Down
SIT is supported by MA200d and there is no sign of upside strength. The sell down on budget last Friday sets the tone for the early part of this week. There is a good chance it will come down to test the support at 3054 this week. As such, traders may like to stay sideline until clearer direction is established.

STI Weekly Preview

Trend: Sideway market.
STI is now supported by the MA200d and has gone into a consolidation phase. Consolidation is likely to last till the middle of the week and movement will be limited and range bound; 3040 to 3118. Intermediate traders and short term traders should stay sideline until a clearer direction emerges, likely middle of next week.