I'm Brandon, a senior stockbroker at a local securities firm and also a professional trainer with Singapore Exchange (SGX) Academy. Holder of Chartered Market Technician (CMT) and Certified Financial Technician (CFTe) with over 10 years experience in the financial industry.

This blog aims to share how private traders can forecast price and trade in line with the market and smart money by applying Wyckoff principles and simple technical analysis techniques.

Saturday, 5 December 2015

STI Weekly Technical Outlook (7 Dec - 11 Dec 15)


Straits Times Index (STI) Technical View:
Primary Trend (6mths or more) : Bearish
Secondary Trend (1-6mths)     : Bearish
Short Term(1mths or less)     : Bullish

Trading the Singapore Market (Long Trades)
Long Term Trades : Not Preferred
Mid Term Trades  : Not Preferred
Short Term Trades: Preferred

Levels to watch:
Resistance 2: 3,100
Resistance 1: 2,950
Support    1: 2,845
Support    2: 2,740

Probable STI Movement
Preferred  : Bullish uptrend trades towards 2,950
Alternate  : Sideway range between 2,845 - 2,900

Remarks: STI traded sideway for the week as forecasted. As we observe that ROC(10) continues to be in uptrend momentum, this implies that the is strength within the last week's sideway movement and we may see a short term uptrend price movement this week.

This week will also be a crucial week for STI. As both STI's momentum indicator MACD will test its signal line and ROC(10) will test its zero line. A successful breakout for both, will lead STI to a medium term uptrend rally.

Comments on STI Technical View
Primary Trend is bearish as 55 Days SMA is trading below the 144 Days SMA, and 144 Days SMA continues to be downward sloping.

Secondary Trend is bearish as MACD continues to be bearish and trades below the zero line.

Minor Trend is bullish as ROC(10) uptrend continues but cautious as its still below the zero line.

*Disclaimer Applies

Technical Terms (StockCharts.com):
Dow Theory
Moving Average Convergence/Divergence Oscillator (MACD)
Moving Average
Trend Line
Support and Resistance
Rate of Change (ROC)