STI

I have been pondering on one question lately. Every time I see the STI on Newspaper, there is this up-ward wedge clearly visible. Yet the wedge is not found on my chart. Well, I have finally found it after some cleaning up of the lines I have drawn.


Fig 1 STI Daily chart

It was hiding inside the triangle that I have drawn earlier. It seems now that I am having more confirmation of an STI retreat. The wedge itself tells me that STI should be moving towards 2,533 minimum objective. The recent ramming of STI thus a correction of a downward movement. It is taking a breather before trending down. Its daily moves are filled with Doji patterns. It is a sign of market uncertainties.

Best I would give at this moment would be a resistance at 2,686, which is not far from now.

Zooming out of the chart, it is exhibiting a reversal behaviour. For certain, the latest high is 2,707, which is higher than the previous one. IT then fall below the previous peak, a description fitting the non-failure swing profile.

The only way which convincde me of a break down of my prediction would be STI crossing 2,707. While that is so, I am still putting 2,809 as the objective