Straits Times Index bullish streak will likely to continue this week.

Excitement in the market continued last week as Straits Times Index swings wildly last week. The week started with a sharp drop as concerns mounted on Japan’s recession announcement. But this bearish news was quickly being shrugged away as STI managed to recover almost all its losses the next day. STI continued the bullish running on Wednesday with a strong gap up opening. These gains were quickly being returned on Thursday where STI attempted to close the gap. Yet again, on Friday, STI managed to make back the losses and even went much higher. Closing at 3345.32 level, STI made a gain of 29.65pts for the week. With such movements last week, will the Straits Times Index be able to make further gains this week? How far can it go?

STI’s chart should give us the indication.

...