Straits Times Index continued to trend in crucial level.
Straits Times Index faced a volatile week last week as it struggled to find fresh bullish leads to sustain it rebound attempts. The week started with a strong rebound which helped STI to get closer to the 20 week MA resistance line around 3500 level. However, it was unable to find strong bullish reasons to lift the index towards that level. Its upside seems to cap at 3490 level. On last Friday, fresh fears on the European situation pushed the market lower. Friday’s movement caused STI to return most of the gains of the week which caused STI to end with only 8.86pts up. Ending at 3436.37 level.
Although STI attempted to rebound last week, it seems to be lacking of bullish conviction to trade higher. Will STI be able to continue to attempt to rebound today?
Let’s look …