Daily Market Opinion for 9-Oct-2012

STI failed to sustain it bullishness yesterday as the market reacted to the property cooling measures via home loans from the government yesterday. Properties and banks were deemed to be affected by the measures and caused the two sectors to slide yesterday. STI returned its 2 day’s worth of gains and ended up below 3080 level again. This market action made many wonder on whether STI’s uptrend is still intact and whether the upside will prevail or not. STI closed at 3076 level with 31.22pts for the day; the steepest drop for the past month. Last night, DJI also failed to continue its bullishness and ended with 26.50pts down. Has STI really ended its uptrend movement or is breaking 3080 level merely a whipsaw action?

The bearish action yesterday caused STI to form a long black candle which can be seen as a ...