Daily Market Opinion for 30-July-2013

The week started with volatility for STI yesterday as market participants were lacking of strong catalyst to trade on either direction. STI first opened slightly down as many were anticipating a continuation of selling pressure from last week’s bearishness. Selling pressure did continue for the first half of the day which pushed STI to as low as 3218 level. However, buyers support started to come in before closing hours pushing STI back above its 50ma support line at 3230 level. This intraday rebound momentum had helped STI to crawl back to its previous closing level. Eventually, STI managed to gain a mere 0.87pts up and ends at 3236 level. Last night, DJI struggled to hold on to its levels and closed with 36.86pts lower. Can STI maintain its support level again? Will STI start rebounding at this point in time?

It is the ...