Straits Times Index: 17 December 2013, Tuesday, 2.30am Singapore Time
Chart courtesy of StockCharts.com
Attached above is the Technical Chart of Singapore Straits Times Index (STI).
Straits Times Index had executed a fake break-up as above and entered into the CRITICAL RED ZONE as highlighted above.
What does this mean?
CRITICAL RED ZONE (RED CIRCLE above) is:
1. A Critical Mid-Long Term Break-down Region
2. Involved in 2 Successful Backtests of Critical Support-Turned-Resistances (Light Blue and Dark Blue in chart above). This means confirmation of resistance has been successful and more sell-downs will come. Corrections have not ended yet.
3. 50 Days Moving Average and 200 Days Moving Average are acting as resistances.
Important points to take note:
1. At the best case scenario, STI will be sideway but it will be for at least 3 months (estimated is 3-6 months) based on technical structure.
2. At the worst case scenario, STI will resume with a sharp sell-off and it will end with a capitulating sell-down.
3. Straits Times Index Target is 2600 points on breakdown confirmation of 3000 points psychological support cum classical support.
4. This worldwide sell-off has not ended yet and STI has a 90% probability of reaching 2600 points.
5. Recently, there has been quite a handful of instances where high profile wanna-be personae went on the local media (newspapers, magazines and radios etc) to give bullish outlooks and bullish technicals of the financial markets and equities markets. These are splashed all over the media and the public/herd bought into it in November and early December. Markets, hence, will move the opposite from the herd.
IMPLICATIONS?
WORLDWIDE SELL-DOWN IS FAR FROM OVER YET.
hi Don,any update on your Golden Agri target? Thanks
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