Daily Markets Briefing: STI up 0.4%

Today’s tone likely to remain more upside biased.

OCBC Investment Research said:

The optimism displayed on Wall Street overnight could cue the local bourse to a positive start this morning.

As a recap, the STI rallied as much 0.9% intraday yesterday but ended the session with just a 0.4% gain and back below the 3030 key support-turned-resistance.

With today’s tone likely to remain more upside biased, we could see the index making a second attempt to take out this 3030 level.

Should this key obstacle be conquered, the index could head to the 3070 minor peak (also 1-month downtrend resistance) next. On the downside, 3000 is the immediate support, followed by the next base at the 2940 key trough.