Daily Market Opinion for 6-Nov-2012

STI started the week with a strong gap down which attempted to break 3030 support level again, in reaction to last Friday’s bearish DJI closing. The market was shaken at first with panic sellers eagerly rushing to sell positions in the early trading hours causing STI to slip to as low as 3021 level. However, STI managed to gain strength before lunch hours and started to rebound back to its opening level and even managed to reach as high as 3037 level before profit takers enter the market. Eventually, STI settled at 3031 level with only 9.06pts lower which maintained the 3030 support level again. As the support seems to be holding, will the rebound happen for STI today? Or will STI attempt to break this support level today?

STI ended with a white hammer pattern at 3030 support level yesterday. This hammer ...