Look "Down" on STI

STI hit high of 2720 in the morning soon came down to 2700 and lost it. The bulls give up and bears pull STI to 2672 (-35points) at 10.15am.

Below is my shorting candidates with resistance level(stops):

Genting: 1.605
Citydev: 9.75
Olam: 2.35
OCBC: 8.38

Window Dressing? Don't fall to Bull Trap

Today is the last trading day of the week, last trading day of the month and last trading day of the quarter. How will the market behave? Is there a window dressing? Do expect some possible "weird" move in the opening session.

Do remember: the gerneral market is DOWn, a pretty DOWN trend, all the news and events are just "props" and distraction.

Will update you again.

STI "go home" Now

STI opened lower and rebounding after that for the whole morning session, playing "go home" (2715-2730 resistance as mentioned in two post back). Now it at 2705( previous gap resistance 2705-2715).

As long as it stayed above 2700 by tomorrow(Friday) close, we will have a bullish reversal candle at support level.( Please refer to my post on Tue). It's all about numbers and levels. I didn't enter to short as planed, as I see the stocks did gap down lower on opening, and there's a chance for it to fill the gap.

Will update you again.

Short Candidates

Sembmar: below its major resistance 3.6-3.65
Kepcorp: below its major resistance 8.4-8.5
Olam: below its 20ma and 50ma 2.43
Genting sp: below its major resistance 1.645

STI Set to Open Lower

US market from initial decline turned to a sell-off last night, with 180 points to close at 11,010. STI is set to open lower today.

STI yesterday dropped back to its support 2700, where I consider 2700-2730 as "home", and the wind is blowing south now, this week it opened at 2701, went down to as low as 2627(Mon), wandered back upwards to 2700 then 2730 resistance(Tue), and unable to continue go up yesterday, closed down to 2701(Wed), the bench mark is 2700-2730. I will go for shorts if it go south from"home".

Global market will be looking at Geman's decision today if they approve to boost the EFSF. ( click here for full story)

STI mode: Downtrend, below resistance level.

STI Bullish Reversal

It's 10mins away to market close. STI shoot up 75 pts at 2730 now. Take a look at STI weekly chart, it shows a hammer candlestick(real time), as today is Tuesday only, the weekly candle not fully completed yet, but as long STI close above 2700 by Friday(major support, also Monday open at 2701 this week), I expect market will continue rebound in coming week.

We can take this opportunity to long at "bottom", the blue chips( mainly STI 30 component stocks) will lead the rebounce no doubt. will update you the long candidates in new post.

STI Testing of Resistance

Following the 270 points or 2.53% bounce for Dow last night, I expect STI will get a bounce too. Let's take a look on STI modes:

1. STI trend is DOWN, (lower high &lower low, 20ma pointing down, MACD line below zero...)
2. STI bullish divergence with MACD line( hint for a rebounce)
3. Use counter-trend strategy for long, or wait for shorting opportunities at Resistance level.
4. Any long position should be short term, do take profit as the TREND is still DOWN.
5. STI immediate resistance level: 2705-2715( gap resistance)

STI at 2700 Support

Very good morning everyone. I'm back to the "battlefield".

Sorry for my absence for the past two weeks. I just can't log into google account(which my website based) in China. It's quite disappointing in the Internet era and no one can block the free flow of information.

STI didn't have a trending move over the past two weeks, it went back to its low in Aug, tested 2700 support last Friday. The "big" picture: STI had a lower low last week and gapped down on open last Friday, but it managed to close the gap, all the way back to 2700 support area. It implies two options:

1. A false break of the 2700 support
2. A break of the support and testing resistance( support turn resistance)

I will check the S&P 500 future for direction today.