DAILY MARKET OPINION FOR 07-JUNE-2013

DAILY MARKET OPINION FOR 07-JUNE-2013

Yesterday, STI went for another freefall again; breaking another support level at 3250 level. The morning started with a gap down action in reaction to the previous night’s DJI closing; breaking the support level at 3250 immediately. There were some attempts of rebound during the opening hours but it soon met with eager sellers whom force the prices down. When HSI opens and starts to trade with negative note, STI started to decline gradually lower. Hopes of rebounding back to 3250 level were lost after lunch hours as market participants continue to exit the market. Eventually, STI ended with 49.92pts down and close at 3193 level. Last night, DJI managed to recover 80.03pts despite its weak opening. Will STI be able to rebound tonight? Has the worst been over yet?

Failure to hold at 3250 level has lead STI to enter into the …