Daily Market Opinion for 6-Sep-2012

STI continued to head lower yesterday as the bearish sentiment continues to press on. STI opened with a slight gap down during the opening in reaction to the bearish closing of DJI on the previous day. 3000 support level was quick to break during the early trading session and it headed towards the next support of 2980. STI went as low as 2986 level before it started to rebound during the last few hours of the day. Trading activity was healthier comparing to the previous day but most of the trades were selling actions. Eventually, STI ended at 2995 level with 15.65pts down for the day. Last night, DJI managed to recover slightly by closing with 11.54pts higher. With the immediate support broken, will the bearish momentum persist today? Can 2980 support level hold STI?

 

Black candle with long lower shadow was …