Straits Times Index - Critical Day (Updated)
[9:30am] STI is currently testing the up trendline. If it closes below the up trendline at the end of the day, we will be looking at 1,650 ~ 1,750 over the next few weeks. If it closes back within the up trendline ( ie: the gap down today is an intra-day penetration, then it is not so bad ), the index is likely to bounce back up to retest 1,950.
I am queuing for a few counters with small quantity each as a 'probe'. Even if the up trendline is broken, there is a chance for technical rebound the next 1 ~ 2 days before the downtrend resume. Most counters as well as the index are oversold after 4 red candles.
[5:15pm] Unbelievable, from -48 or so to +12 back within the trendline. I fully appreciate the notion 'do not anticipate, trade by set-up'. Luckily I managed to pick up something, not a basket full but at least not empty handed. Both counters I loaded up are in the money now!
Labels: Market Direction
posted by Market Wizards @ April 21, 2009
Comments: 0
