Thursday, August 6, 2009

STI - the expected drop

Finally the long awaited correction.

Mentioned few days ago in this entry, today is exactly the 5th trading day. Also mentioned in this post about the fibonacci resistances. Fibo fan + Fibo retracement is indeed amazing!

Ok, a bit busy to post my updated chart today, but I expect STI to make one more climb.

I identified another support line today, which seems to suggest that STI might find base around 2578. The upper bound tomorrow will be around 2630.

Using the widely used pivot system again,

Pivot 2621.893

R1 2650.177
S1 2578.547
R2 2693.523
S2 2550.263
R3 2721.807
S3 2506.917

Taking average, tomorrow's action should likely be between 2578 ~ 2630.

As support for National Day, I also bought in UOB at $16.68 as a punt (around STI 2600 region). Might be bad, but.... at least I know UOB will not close down in Singapore in this recession. It might drop to $8 or below, so if I'm stuck, I better get ready more cash to average this out :(

I'm making a prediction again that we will see something with STI within 5 trading days. And this time, a likely last surge up. :) Hopefully it turns out true and I will be able to get out of UOB with some profit.

It could already be the start of the downtrend as we have reached near the 61.8% fibo fan line, which is a significant ratio... Good luck...

No comments:

Post a Comment

Please Comment >>