Following the earlier discussion about STI, we have mentioned that it is trending below the support-turned-resistance line. We also have identified the immediate support and resistance at 3250 and 3315.
However, STI finished the first session of March 2013 on a negative note. It seem like there is an increasing uncertainties by having two sets of inside day bar pattern back to back and failure to break above gap resistance of 3269 - 3288. Thus the current immediate support and resistance level stands at 3250 and 3269 - 3288 respectively. A move above or below these levels will provide better clarity on its direction. On 4 March 2013, we witnessed a move below 3250 and closed 3239.
With this new input, the previous support of 3250 just turned resistance level, with the support level stands at 3220 - 3225. As shown on the RSI chart, there is a divergence going on. Looking to see ......
