Daily Market Opinion for 28-Jan-2014

Daily Market Opinion for 28-Jan-2014

The last week of Feb started with bloodshed. STI faced further selling pressure yesterday as concerns on China’s economic situation heighten. Market players were very eager to exit the market while Shortists were seen enjoying the moment. STI first opened with a strong gap down in reaction to DJI’s weak closing last week. Panic selling was seen during the day which pushed STI to as low as 3025 level. With short covering happening, STI was able to stage a rebound near the closing hours. STI managed to close at 3042.43 level with 33.56pts down for the day. Last night, DJI slide further with 41.23pts down. Will STI be able to hold at its support level of 3030?

As expected, the immediate support at 3065 level had failed to hold yesterday and now, it will turn into a resistance level for STI to …