Straits times index ready for more upside movement

STI started the week attempting to break the key resistance of 3080 level but failed to do so as the resistance stayed very strongly. Bearish sentiment starts to set in again after concerns of economic situation worsening. On Wednesday, STI dropped strongly after market reacted to the news of Temasek selling its stake in Singtel with the lowest price range of $3.20. As Singtel is one of the heavy weighted in STI, the market adjusted Singtel price directly to $3.20 which created a sharp drop in STI’s value. However, the drop was quickly recovered the next few days after STI tested the strong support at 3040 level. The rebound lost its strength on Friday as traders started to adopt cautiousness to prepare for the weekend. For the week, STI was down 17.89pts and closes at 3060 level. Last Friday, …