Daily Market Opinion for 02-Oct-2014

STI continued to trade lower again yesterday as market participants continue to be bearish. STI opened bearishly with a gap down action. It tried to recover during the early trading session but it failed to go higher than 3270 level. For the rest of the day, trading volume was lacklustre and it slide down gradually. It tested 3265 support level repeatedly and refusing to break. A low of 3262 level was formed in the process of testing the support level. Eventually, STI ended at 3264.09 level with 12.65pts down. Last night, DJI was seen tumbling 238.19pts down. With the lack of direction from China and HK market, will STI be able to hold its support? Or will break it to tumble towards its next support level?

STI’s support at 3265 level was being tested again yesterday. This time round, it seems ...