STI shows 'lethargic' recovery

Dampened mood awaits the index.

OCBC Investment Research said:

The pullback on Wall Street overnight and the poor Nikkei start (down 0.6%) are likely to dampen local sentiments this morning.

As a recap, the STI continued to register gains yesterday with a 0.3% gain but is looking a tad lethargic in its recovery.

And with today’s tone likely to turn more downside biased, we could see the index reversing back south in the direction of the 3000 psychological support.

Below that, the next base lies at the 2980 resistance-turned-support. On the upside, the immediate obstacle is still pegged at the 3020 support-turned-resistance, with the subsequent hurdle marked at the 3060 level (various peaks).