Daily Market Opinion for 14-Nov-2013

Daily Market Opinion for 14-Nov-2013

It was another day of drop for STI as it failed to hold at its strong support level at 3170.  STI was seen opening firmly above the support level but soon after HSI opens, STI started to flatter. Market participants continue to be wary of the situation in China and decided to take the cautious step by exiting the market. STI drop gradually during the mid of the day and came to a standstill when it hit a low of 3163 level. Eventually, it ended at 3166 level with 13.51pts down for the day. Last night, DJI rebounded with 70.96pts higher. Will STI be able to rebound today also? Or will further selling pressure set in due to China concern?

Breaking 3170 level is a strong indication that the bullish momentum in STI have vanished. Breaking of strong support levels indicates that …