Good evening, the STI managed to close above 2700 today; in face, it closed rather strongly. The STI is going to have a hard time going up. It first has to break through the 50-day moving average, then the 200-day moving average. But it does look like we are seeing some light at the end of the tunnel. Having said that, the longer term trends, shown by the 200day and 50day moving averages, are still down, but like i mentioned in my earlier comment, we are seeing a bullish divergence in that the MACD has already traced a higher low as opposed to the STI making a lower low. This is a strong signal that the momentum is upwards for the time being. Is it safe to go in? I would suggest nibbling at the dips as the market is not going to go up everyday.
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