Daily Market Opinion for 08-Mar-2013

Daily Market Opinion for 08-Mar-2013

STI’s bullish strength continued yesterday but it happens with a lighter tone. STI opened flat as market participants decided to take a more cautious stance after a strong one day rally on Wednesday. Market participants feared to commit further as STI is approaching its major resistance level where it had trouble breaking for the past months. STI was also affected by the volatile movements in HSI yesterday. This caused STI to swing indecisively during the day before trading more decisively before the market closing time. STI ended with 6.73pts higher at 3298 level, 2pts shy from 3300 level. Last night, DJI rose higher with 33.25pts up. Will STI be able to challenge its resistance level today? Or will the Friday effect bring more sellers into the market?

STI closed with a small white candle yesterday. This candle shows that the bullishness in the …