Daily Market Opinion for 18-June-2013

STI started the week bullishly as it continued to stage a bullish rebound yesterday. STI started the day with reluctance as it opened lower and traded as low as 3144 level. However, it started to come to live after HSI opens with a positive note. Bargain hunters entered the market snapping up stocks which pushed STI up gradually during the day. 3180 resistance level was being tested and even hit as high as 3191 level. Eventually, STI ended at 3183 level with 22.01pts up for the day. Last night, DJI managed to gain 109.67pts. Will STI be able to continue this rally? How far can STI go?

Yesterday’s bullish action had confirmed the morning star bullish pattern which appears last Friday. This bullish candle had assured that STI can sustain its rebound currently. However, it is now facing resistance at 3180 level which ...