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.