“The last time the STI was oversold, a rebound happened almost immediately in October 2020, leading to a 14% rebound over the next four weeks,” note the analysts.
CGS-CIMB Research analysts Lim Siew Khee and Jeremy Ng deem the Straits Times Index (STI) as currently “oversold” following its sharp selloff in November, resulting in a 4.91% dip.
This means the index could be bottoming out soon, write the analysts in a Nov 30 Singapore strategy report.
