Daily Market Opinion for 20-Aug-2013

Daily Market Opinion for 20-Aug-2013

It was another day of drop for STI as it failed to stage a rebound yesterday. The week started with a flat opening. The early session was a cautious one as STI sway between the positive and negative region which makes it hard to decide which direction STI will be taking for the day. When STI hit as high as 3202 level, it failed to break the resistance at 3200 level and selling pressure started to enter the market strongly. The selling pressure was decisive throughout the afternoon session which made STI to hit as low as 3168 level before closing at 3173 level. In such a decisive day, STI fell 24.2pts for the day. Last night, DJI closed with 70.73pts down. Will this bearish momentum continue? Or has STI hit a support level and is ready to rebound?

STI did attempt to …