STI - support held.

i was quite surprised to see that STI closed pretty strongly today. It did not break yesterday's low, and did not close above yesterday's high either. So based on the daily chart, today's price action was pretty strong. The boundaries now are 3005 and 3032. If the STI opens above and closes above 3032, then the uptrend resumes and we should see another test of 3088. If the STI opens below 3005 and closes below that, then we are likely to head first towards 2974 and if that fails to hold, then down to 2940.

STI - support broken

Support at 3036 was broken this morning when the STI gapped down and it continued to sell off very rapidly during the first hour of trading. After that, it simply drifted sideways. The short term technical picture of the STI is rather bearish. Key levels to note are: 3000 points (psychological support), and around 2974 (previous pivot low). For those of you who are long and buying on pullbacks, do be careful because the market could pull back to about 2940 level if the market does not like what the FED chairman says.

STI - not looking so good

STI is not looking so good. Volatility is down, momentum is down, short term trend is down. Key support level is 3036. Once that fails to hold, we are looking at a correction to 2985. Right now, investors are waiting to see what ECB and the Fed are going to do next. I am afraid that if nothing substantial comes out, we are in for a major sell off.

tipping over? or buying opportunity?

Stock market was a bit more exciting today. The market gapped lower and proceeded to sell off hard. But after one hour of hard selling, buyers came back and pushed the index back to where it opened in the morning. Bargain hunters? Or do they know something we don't. As i write now, Europe is still down. Strong support is at 3041 and resistance is at 3088. But if this support fails, the next strong support will be at about 2990. There is a bearish divergence between the MACD and the index charts, so do trade cautiously.

Golden agri staged a remarkable rebound in the afternoon to close at the day's high at 0.72. The stock has been trading in a downward channel since mid July, but support at the moving averages is rather strong. Momentum is slightly up now. Support is at 0.700 and resistance is at 0.745.

Noble Group's price action is rather bullish now, having broken through all three moving averages. It's retracement over the past 3 days is healthy is looks like a good opportunity to take a long position. A long entry between 1.21 and 1.24 would be ideal, with the initial profit target of 1.29. A stop could be placed at 1.19 since 1.21 is a support level.

Gentng is also doing a bit of a retracement, but the stock is still a bit stuck, with resistance at the middle moving average. Price action is a little bullish and a good long position is at 1.305, with an initial price target of 1.38. Initial stop should be placed at 1.23.

national day correction?

After hitting a 2012 high of 3086, the STI has been weak over the past 2 days. It closed 3052 today. Support looks to be at 3040 and resistance is at 3086. Momentum is slightly down, but trend is still on the upside.

golden agri saw heavy selling today and the share price fell from the open at 0.725 to a low of 0.690 before closing at 0.700. I am not too sure of the reason for the big drop, but is probably due to rising inventory levels of CPO (crude pail oil) and falling demand. I was rather bullish on this stock since early july but I am not so sure now as the technical picture is not so positive. It has already broken what looks like support at 0.705 to me (the meeting of the moving averages), so it is best to see where is the next support before deciding on jumping into this trade. Initial support looks like 0.690, resistance is at 0.74.

Noble group, on the other hand, seems to have found support at 1.05 and is staging a rebound. It has broken through both the short and medium term moving averages and looks set to head towards the longer term moving average. Resistance is at 1.175, support is at 1.05.

STI back to 3050

The STI gapped down at the open, mirroring the weaker closes of the US markets, but soon found its footing later in the afternoon. I am looking for it to go to 3100 soon. Support is at 3016.

Golden Agri also had a weak open and at one point in time was sold down to 0.71. But it rallied in the afternoon to close at 0.725. Resistance is at 0.745.

Capitaland rose strongly today on high volume to close at 3.12. Support is at 3.00. First target is 3.155, second target is 3.20. This stock is outperforming the STI.

Genting rose slightly on high volume. The larger trend of Genting is still down, but momentum is going higher. It seems to have found some support at 1.285. There is some resistance at 1.32, and the next resistance is at 1.41.

STI breaks through 3040

Yes! STI has broken through its previous high of 3040 and i think will head towards 3100 (the 161.6% fibonacci projection). Support looks to be around 3020.

Capitaland has also broken through 3.00, and is headed towards 3.155 (the previous pivot high). Support is about 2.95.

Golden Agri is rather disappointing today. I had expected it to continue going up to 0.78, but it instead fell to 0.72. Support remains at 0.705 and my short term target for this stock is 0.78.