STI show signs of breakout led by banks
Volatility has been slow since the beginning of 2020. So far STI has been more or less uninterrupted by the US-Iran conflict. After last week’s closing above 3250. We can see that the banks are leading its recovery. Check out the latest OCBC trading idea for more details. If STI continues to climb, it might be able to show a higher level of certainty for uptrend.
STI – Updated Weekly Chart
STI broke the first downtrend resistance on a weekly chart and closed above 3250. Currently trending above both 9 and 20 weeks moving averages. Bollinger bands are also showing uptrend signals.
The horizontal red line is the horizontal support at 3288. 3210 will be the next support if the rally is adverted by bad news in SG or US side. Otherwise, next week will likely be the signing of the phase one trade deal between US and China.
Author Call as of 12 Jan 2020
- STI will continue to head towards 3280 territory
- Minor breakout from weekly charts (to be confirmed in the coming week)
- STI CNY mood strikes and might lead to more aggressive buying
- SG Banks has shown some level of support for STI in the past week
Author Call As of 5 Jan 2020
- STI has left 3220 and is headed towards 3285 resistance
- Budget on 18 Feb 2020 will be the last of the 5 Year budget (15 Billion in excess)
- STI will be boosted by Budget’s support led by HSH
- US toned down in the past weeks and might see some correction from All time highs.
