STI Facing 3000 Resistance

Continue its strong bullish momentum these days, STI hit high of today at 2994.5, about 6 point to the importance psychological level 3000. Most of the stocks seen from downtrend turned to uptrend already.

However, as STI has extended its bullish run up these days, most of the blue chips are in overbought region now. A healthy retracement is expected. Today, STI retracing back to 2960 support as at 3pm, down 21v points from yesterday's close. Next support is 2940. This round of rise since the beginning of the year may come to a stop for now. As of today, STI has rebounced for about 350 points or 12% from last year end at 2650. It hitting its long term downtrend line as well.( See chart below).

My STI momentum indicator also showed extremely bullish momentum, in the highest of 180 reading. It's where the possible points market turn around.