The Straits Times Index (STI) closed at 3,894 points during the week of May 26-30, up 10 points week-on-week. Technical indicators continue to support modestly higher levels, with the index attempting to test 4,000 in what remains of 2Q2025 and probably surpass it in 3Q2025.
In the past two weeks, the STI remained within a narrow narrow range, but with strengthening technical indicators. The 100- and 200-day moving averages remain intact at 3,840 and 3,737 respectively. Quarterly momentum is flat, but above its equilibrium line, and directional movement indicators are neutral to positive with the DIs positively placed and ADX at 23. These levels suggest that prices should firm.
