Support remains at 3,300 (give or take). The 50-day moving average, which has acted as a support line, is currently at 3,299, and rising at around 2.6 points a day. All in, the STI should be able to be well-supported by its rising moving averages. If 3,300 continues to hold, the eventual upside of 3,450 remains valid.
The Straits Times Index ended at 3,343 on June 27, the highest end-day close this year. However, it eased to end the week of June 24-28 at 3,332, off the high of the week, but still up 24 points week-on-week. A breakout above 3,350 may continue to stay elusive in the near term.
Directional movement indicators have flattened, with ADX hovering around 11. This is a low level, and indicative of a ranging market rather than a trending market. A mild pick-up in volume was evident on the white candle days. Quarterly momentum has resumed an upmove following a sideways range. Short term RSI has rebounded off neutral levels.
