Daily Market Opinion for 07-Feb-2014

The days of negative closing had ended yesterday as STI managed to sustain it rebound yesterday. Market participants were positive about US’s job data this Friday and were entering the market on bargains. STI opened with a gap up action at 2972 level and was able to sustain its bullishness after hitting a low. The buying strength was gradual throughout the day as buyers managed to push STI as high as 2994 level before coming to a close. STI closed at 2988.37 level with 28.28pts up. Last night, DJI continues to rebound with 188.30pts higher. Will STI be able to continue its rebound today? Or have STI hit it resistance?

The bearish momentum had reversed yesterday and rebound action seems to be likely to persist today. The gap resistance between 2973 – 2989 levels are now being tested and STI have yet ...