A few days break and STI broke 3,043...

It has been quite a while since I last went back to Malaysia, so I took the opportunity of Hari Raya long weekend to drive my family back to KL for the weekend.

We set out very early in the morning at around 5:30AM hopefully to escape the possible traffic jam. Surprisingly the custom was nearly empty when we crossed at 6:30AM. It was only after we crossed the custom that we saw a slight build up of traffic.

The trip this time was different. My parents joined membership to Grand Millenium Hotel and we got a free stay for one day. Finally after close to 10 years of marrying to me, my wife finally got to walk at Bukit Bintang and Time Square. Certainly it was quite embarassing for her when her colleagues talked about their trip to KL when she who married someone from KL even stepped out of the residential area. The other malls that she has visited were Parvillion and Mid Valley.

While she got to walked at Time Square, it was rather disappointing because the place was so messy. We used to dislike Parvillion as we have been there for quite many times, a visit to Time Square certainly made us appreciate Parvillion more.



Fig 1 STI Daily Chart

I just got to look at STI today after 2 more days of rest from my trip. While I anticipate the possibility of STI hitting previous high, it is quite a surprise to me that it over shoot 3,043! Definitely this makes the wave count more complex than before and I would have to temperary forgo this tactic.

Instead I have to rely on the indicators again. In my earlier entry, I noted Stochastic has shown divergence which is early sign for reversal. Now, RSI has joined in with the samw warning, to me, RSI is more prudent than Stochastic.

Should STI continue to shoot up, its next resistance base on Fibonacci projection is around 3,140, support for the time being remains at 3,043. However, if it fall further, it will be supported by the 21 days moving average at 2,991.