Monday, April 7, 2014

****************** STI DIRECTION : Where is the market heading to now ??

STI has staged a strong rebound since 2 weeks ago since it broke above the 3130 level which is where the channel resistance downward sloping line touches. It has hit a high of 3228 last Friday before some profit taking seen today. Currently at 3196 as of now. Support would likely be at 3190 at the moment…. As long as it stays above 3190, a rise towards 3240 – 3280 seems likely. However, a break below 3190 can open the way back down to 3150. Critical resistance to watch would be the 3280 level which was the high set in July last year, any upside breakout above that can see more funds coming in to ride the rally and take it higher further to  3300 and 3350. Would be a good thing to lock in some profits for some blue chips which have REBOUNDED in line with the rally like banks(OCBC, UOB) and properties counter if STI breaches above 3250.
 

No comments:

Post a Comment