STI

In last week, STI gain 42 points from the opening of 3138 and close higher at 3180. A white body candle stick with long upper/lower lower shadow indicates that investors are hesitant on the direction ahead.

Key Economics Data report:

The White House says President Barack Obama welcomes a “constructive approach” from congressional Republicans in a new budget offering but “has some concerns with it.”

House Republicans offered to pass legislation to avert a default and end the 11-day government shutdown. Their proposal to end the stalemate would include cuts in benefit programs and changes to Obama’s health care law.

Technical Analysis on STI

STI re-test the critical resistance at 3179 in last week and closed right at the resistance.

1) In weekly chart, a white candle stick with long upper/lower shadow affirms investors’ refuses to buy above the 3179 level.

2) The weekly trading volume drop slightly as investors sidelined …