Singapore: STI Index (.STI) concerns over slowdown in the city-state’s manufacturing activity
Singapore shares slid on Tuesday, one of the worst performing markets in Asia, amid concerns over slowdown in the city-state’s manufacturing activity and as doubts shrouded U.S.-China trade truce. Malaysia stocks also declined.
The Straits Times Index ended 0.7% lower at 3167.79. Yangzijiang Shipbuilding (Holdings) fell 4.6% to lead decliners on the Singaporean gauge. The FBM KLCI closed down 0.3% at 1694.99. Sime Darby was the biggest index loser after falling 2.5% in Malaysia.
Factory activity growth in Singapore decelerated with manufacturing purchasing managers’ index declining to 51.5 in November from 51.9 a month ago. A slew of analyst reports painting dismal corporate results in the recently-concluded earnings season in Malaysia also weighed on investor sentiment.
“PMI is the key metric for Singapore,” said Stephen Innes, head of trading for Asia at currency broker Oanda. “I think perhaps this is another casualty of U.S.-China trade tensions.”
Other regional equity benchmarks were mixed, with the Nikkei Asia300 Index trading little changed, as optimism mellowed and questions began to arise about details of what was agreed between U.S. President Donald Trump and his Chinese counterpart Xi Jinping.
The U.S. had agreed to hold off for 90 days on a planned increase in import duties on $200 billion worth of Chinese goods. The decision follows an agreement between the U.S. and Chinese presidents at a G-20 summit in Argentina over the weekend.
Overall, the bias in prices is: Upwards.
The projected upper bound is: 3,254.64.
The projected lower bound is: 3,078.88.
The projected closing price is: 3,166.76.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 21 white candles and 29 black candles for a net of 8 black candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 86.3407. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a sell 19 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 63.16. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 23 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 155.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a buy 8 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 22 period(s) ago.
Rex Takasugi – TD Profile
STRAITS TIMES closed down -22.830 at 3,167.790. Volume was 0% above average (neutral) and Bollinger Bands were 14% narrower than normal.
Open High Low Close Volume___
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 3,099.62 3,100.28 3,308.54
Volatility: 15 18 16
Volume: 221,337,904 233,928,704 241,890,112
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
STRAITS TIMES is currently 4.3% below its 200-period moving average and is in an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect moderate flows of volume into .STI (mildly bullish). Our trend forecasting oscillators are currently bullish on .STI and have had this outlook for the last 8 periods.