STI "Engulf"

Since my last entry on STI, some uncertainties has grown in me.This is mainly because STI then has broken the 61.8% Fibonacci retracement. I was wondering if in fact STI is heading for 100% retracement, since there is nothing much between 61.8% and the 100% mark. Futher to that, the evening star pattern did not come through and eventually it kept me wondering again when it is going to turn?


Fig 1 STI Daily Chart

Even for today, I was actually surprise of its bold move in the morning with a gap up of around 19 point. But it became more interesting after lunch when STI started its descend. At the end of the day, it was in the red.

The result is a potential "Engulf" candlestick pattern, the only thing left is the confirmation. If it is down tomorrow, officially we would be seeing a new downward movement.

Already both indicators started to head south. I guess in this case,B is completed. Now if I take a measurment base on zig zag pattern, its objective would be 2,618. IF however, I am wrong on this, resistance at 2,949.