Straits Times Index might be ready for a rebound action.

Last week, STI failed to show any rebound and support levels were broken easily over the week. The expectations of a technical rebound for lower low formation did not materialise. Instead, the market chose to continue to behave bearishly and headed much lower than expected. The week started off with attempts to rebound above the 100ma line at 3300 level. But it failed to do so on Monday and Tuesday. On Wednesday, STI fell further after breaking the support level of 3280 after concerns of Friday’s US economic data will impact on Bernanke’s comments. The slide continues on Thursday but it started to tamper off on Friday as market participants stay cautious. For the week, STI tumbled a total of 126.65pts down and close at 3184.72. On Friday night, the economic data turned out to be fine and ...