Straits Times Index trading in an overbought situation.

It turned out to be a bullish week for Straits Times Index as market participants continue to be upbeat on the current market situation. There were no strong signs of market retracement as most of the days were seen bullish. The week started with a breakout of the 20ma resistance level at around 3050 level and it even managed to go beyond 3065 resistance level. There was some reluctance of the upside due to lacking of direction from the US market. However, strength entered the market again on Wednesday and sustained well on Thursday. Last Friday, STI attempted to trade higher during the day but it failed to break the resistance at 3100 level. For the week, STI closed at 3099.93 level with 13.29pts down. On Friday night, DJI closed with 29.93pts down. Will STI be able to sustain ...