Daily Market Opinion for 07-Jan-2014

Daily Market Opinion for 07-Jan-2014

The week started with another day of losing streak for STI. This time round, STI failed to hold above 3130 support level and broke it despite its efforts to sustain the support level. Efforts of holding the support level were seen in the morning trade where STI opened with a gap up action. However, STI failed to sustain the gains after seeing HSI opening with a bearish note. Traders were doubtful of the strength of the support level and decided to exit the market as a caution. Closer to lunchtime, STI started to enter into the negative zone and selling pressure started to build up. Eventually, STI clocked 7.65pts worth of losses and closed at 3123.82 level. Last night, DJI was seen trading lower by 44.89pts. Where will STI head towards before a rebound can happen?

Bearish candle was formed again yesterday. …