Daily Market Opinion for 29-Nov-2012

STI ended its winning streak yesterday by closing flat. The day started with a gap down as STI reacted to DJI’s overnight drop which triggers a slight wave of selling pressure in the morning. The selling pressure pushes STI to as low as 2998 level before buyers came in to support the 20ma line. There was a tussle between the bulls and bears during the afternoon trading session around 3005 level before the bears started to give in. Flat European market opening lead the market to think that retracement is not ready and STI propelled back to its previous day’s level before closing. Eventually, with active trading volume, STI managed to close with only 0.14pts lower for the day. Last night, DJI managed to recover its losses by rebounding 106.98pts. Will STI attempt to test 3020 level today? Or will 3000 level fail ...