Singapore: STI Index (.STI) Consumer Price Index (CPI) grew 0.9 percent year-on-year in May

Singapore: STI Index (.STI) Consumer Price Index (CPI) grew 0.9 percent year-on-year in May

Singapore: STI Index (.STI) Consumer Price Index (CPI) grew 0.9 percent year-on-year in May

Singapore’s Consumer Price Index (CPI) grew 0.9 percent year-on-year in May, following the 0.8 percent increase in April, the Ministry of Trade and Industry (MTI) and Monetary Authority of Singapore (MAS) said in a joint release on Monday.

The authorities attribute the higher inflation to a more modest decline in accommodation costs as well as higher private road transport, retail and food inflation, which outweighed a larger fall in electricity and gas costs.

Meanwhile, the MAS Core Inflation, which excludes the costs of accommodation and private road transport, remained at 1.3 percent this May, as higher retail and food inflation broadly offset a steeper decline in the cost of electricity and gas.

The authorities reiterated in the release that Singapore’s CPI inflation was expected to average 0.5 percent to 1.5 percent in 2019, and the MAS Core Inflation was expected to come in near the mid-point of the forecast range of 1 percent to 2 percent.

Overall, the bias in prices is: Upwards.

The projected upper bound is: 3,379.82.

The projected lower bound is: 3,242.60.

The projected closing price is: 3,311.21.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 8 white candles and 2 black candles for a net of 6 white candles. During the past 50 bars, there have been 33 white candles and 16 black candles for a net of 17 white candles.

A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.

Three white candles occurred in the last three days. Although these candles were not big enough to create three white soldiers, the steady upward pattern is bullish.

Momentum Indicators

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.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 95.3791. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a buy 20 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 68.78. This is not a topping or bottoming area. However, the RSI just crossed below 70 from a topping formation. This is a bearish sign. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 0 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 123.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a sell 5 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 12 period(s) ago.

Rex Takasugi – TD Profile

STRAITS TIMES closed down -9.870 at 3,311.530. Volume was 13% below average (neutral) and Bollinger Bands were 55% wider than normal.

Open High Low Close Volume___
3,308.7103,315.2503,303.0103,311.530 184,913,168

Technical Outlook
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish

Moving Averages: 10-period     50-period     200-period
Close: 3,254.29 3,256.84 3,179.53
Volatility: 11 13 15
Volume: 220,056,304 207,175,808 212,582,448

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.

Summary

STRAITS TIMES is currently 4.2% above its 200-period moving average and is in an upward trend. Volatility is Our volume indicators reflect volume flowing into and out of .STI at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on .STI and have had this outlook for the last 4 periods.

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