STI follow up

With behaviour very close to DJIA, STI too has broken the fibonacci level 2,809 I have calculated (Damn!). However it took STI a whole week to do that. If not for Dubai, most likely this won't happen.

The new resistance at this moment is 2,812 and STI is testing this level for 2 days. Now one interesting note on STI behaviours is that on both days, it closed marginally lower even with STI reaching interday new high.


Fig 1 STI Weekly chart

Similar to Dow Jones, although Stochastic is moving higher, RSI is tapering off with a potential of reversal. Still the chart is still bounded within the channel.


Fig 2 STI Daily Chart

On daily basis, the outlook of the indicators is not that spectacular. Both indicators are reversing and moving south, both are diverging and strongly encourage STI to retreat.The support level I can see now is 2,663.