Daily Markets Briefing: STI up 0.7%

Profit-taking is on the cards today.

According to OCBC, the rebound in the US index futures after Fed chief’s testimony could keep local sentiment fairly upbeat today; Nikkei already +0.6%.

Here's more from OCBC:

But we see potential profit-taking emerging ahead of the long weekend, especially if the index fails to clear the key 3357 hurdle.

The STI has been running up in anticipation of the approval of the bailout package by the Greek Parliament, hence we may get the usual “sell on news” reaction.

Nevertheless, the daily technical indicators are still looking pretty positive, suggesting that any pullback is likely to be quite shallow; and also chance for further buy-ins.

As before, the first support can be found at 3302, ahead of 3266.