Singapore Stock Market Forecast 17-July 2013

Market Review: 

Most Southeast Asian stock markets ended weaker on Tuesday awaiting directions from U.S. Federal Reserve Chairman Ben Bernanke's twice-yearly monetary policy report to the Congress later this week.Singapore shares open higher, but closed lower for 3rd consecutive day.

STI opens with good gap @ 3244.50 and made day high @ 3252.55, and after making day high it continue fell down whole day and made day low @ 3216.50. Finally STI closed @ 3224.96 with loss of 11.86 points down by 0.37%.

Some 3.33 billion shares, valued at S$1.02 billion were traded. Gainers outnumbered losers 217 to 204.

Market forecast:

It is a 3rd consecutive day of downtrend in STI, index opened higher but closed lower. Good thing that Index maintains itself above 3200 mark.

As we mention in our previous report that STI formed an inverted pendant, and if it will maintain above its horizontal resistance line then it can be more bullish. And STI crossed that resistance line and maintain till 3250 mark but above this STI struggling and return back from that level.

So if STI crossed its 3200 mark then we can see more downside move in the Index, for upward move it has to maintain above 3250 mark.

Support:

STI having immediate support @ 3210 level and below this level it can take support @3190-3160 will be the support zone for STI.

Resistance:

STI having immediate Resistance @3255 and above this level it may take resistance @ 3285-3310 levels.

Technical indicators:

Technical indicators MACD turn to bearish , its 14-day RSI is in recovering mode and closed @ 54.39 and CCI recovers again and trading @ 110.64.