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14/5/11

May 16-20 - TA for STI Index


May 16-20, TA for STI Index
  • Trend - Side Trending
  • Momentum - Moderate at 40-60% for Stochastic and RSI
  • Resistance - 3170
  • Support - 3092
  • Bollinger Band - Trending into a bollinger Squeeze
  • Candlestick - Harami -> indicates a possible bullish reversal 

STI is trading sideway into a narrow band. Bollinger Band is within 3.7% and support/resistance band is about 2.7%. Trading within such narrow band is difficult. May 12-13, a pair of harami is forming indicating a possible bullish reversal (probability can break the 3170 resistance). Volume is 1.3x above average on Friday.

In general, we need to understand Performance Indexes among DJI, S&P, HSI and STI. HSI is the under performer and now all indexes are entering flat or side trending.

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