STI Market Forecast For the Week 08-12 July 2013

Macro-Economic Factors: 

The Singapore Institute of Purchasing & Materials Management's Purchasing Managers' index (PMI) rose to 51.7 points last month from May's 51.1, staying above the 50 point level that separates expansion from contraction for a fourth consecutive month. The institute's PMI for the electronics sector dipped to 51.2 from 51.4 points in May. 

Market Forecast for week ahead: 

It’s a 2nd week where STI continue its recovery and gain this 1st week of this month,STI crossed resistance of 3180.

STI had narrow range trading in last week. For coming week we expect that if STI will able to trade above 3180 then we expect more upward move.

If STI breached this two week low level of 3065 , than we expect more down fall in STI of more 100 points as on weekly graph STI having one support @ its up slopping trend line which ended @ 3000 mark and below this next support comes @ 2960 level. And if STI maintain above 3150 level so it can be traded above 3250.

STI Resistance:

STI having Resistance @ 3180 and above this level it may take resistance from 3215-3250 levels.

STI Support:

STI having nearest support @ 3120 below this 3095-3065 will be the support area for market.

Technical Indicators:

Technical indicators are  giving positive impression.

Support 1	Support 2	Support 3	Resistance 1	Resistance 2	Resistance 3
3120	3095	3065	3180	3215	3250