Singapore: STI Index (.STI) stocks continues their downward slide
Amid a cautious trading environment, Singapore stocks continued their downward slide yesterday, with the Straits Times Index (STI) losing 0.68 per cent or 21.6 points to close at 3,171.11.
Investors are finding more reasons for gloom than cheer, with the International Monetary Fund’s downgrade of its global growth outlook, Brexit-related uncertainty and the continued partial United States government shutdown.
Hopes for progress in US-China trade ties were also dimmed by reports that Washington had rejected Beijing’s offer to hold preparatory talks ahead of a key meeting next week, although the White House denied the reports.
Several of the most heavily traded stocks ended flat, such as Genting Singapore, which closed at $1.09 after 45.5 million shares changed hands. Rex International closed at 7.9 cents on a volume of 22.6 million, while JCG Investment Holdings closed at 0.3 cent with 22 million shares traded.
Overall, the bias in prices is: Sideways.
By the way, prices are vulnerable to a correction towards 3,144.81.
The projected upper bound is: 3,256.86.
The projected lower bound is: 3,090.06.
The projected closing price is: 3,173.46.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 26 white candles and 23 black candles for a net of 3 white candles.
Three black candles occurred in the last three days. Although these candles were not big enough to create three black crows, the steady downward pattern is bearish.
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 17.7311. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a sell 2 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 54.89. 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 58 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 3. This is not a topping or bottoming area. The last signal was a sell 4 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 12 period(s) ago.
Rex Takasugi – TD Profile
STRAITS TIMES closed down -21.600 at 3,171.110. Volume was 1% above average (neutral) and Bollinger Bands were 51% wider than normal.
Open High Low Close Volume___
Short Term: Oversold
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 3,202.02 3,103.65 3,245.25
Volatility: 13 17 16
Volume: 204,281,632 194,346,160 231,797,712
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 2.3% below its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. 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 10 periods.