VTL hampered, recovery trajectory inevitably protracted
The MTF did a decisive call to halt sales of all quarantine free travel to SG for about a month and resume sales just before CNY period. Personally, I think the move is apt because the Omicron variant continues to threaten the healthcare system but otherwise essential travel is still allowed for international travel. As for the rest of the economy, we should be seeing greater stabilisation in the coming week as we approach the end of 2021. Otherwise, everyone is still waiting for more definitive findings about the virus as we are still unsure how impactful it will be to the majority of the population.
STI – Updated Daily Chart
The daily chart shows that the economy is still in the midst of a recovery. Although we still need to be cautious about Friday’s candlestick because of the half day market session for Christmas Eve.
STI – Updated Weekly Chart
The monthly chart shows that we are still hovering about that uptrend support/resistance line. More info on the recovery from the pandemic will be required before the market continues its upward trajectory.
Author’s Call as of 26th December 2021
- There is an obvious uptrend waiting to happen but we are still at the mercy for more bad news and triggers by Omicron
- The daily chart shows that the move to stop sales by MTF is still relatively well received
- On the monthly chart, we can see that STI is still trying to advance ahead as well but is waiting for better news about the new variant
- Recommend investors to be more reflexive in this time of uncertainty and lower yield expectation for trades
Author’s Call as of 18th December 2021
- Booster shots are no longer voluntary because the efficacy of the mRNA vaccines are less effective towards the new Omicron variant
- The daily chart continues to show that investors are staying cautious albeit a little optimistic at closing on Friday
- The 50 weeks MA remains as the key support level for the past three weeks
- Investors should start spreading out their purchases as the dips ahead might be larger if the Omicron variant prove to be a bigger health threat even for the vaccinated.
