Daily Markets Briefing: STI down 0.1%

Index could be poised for a mild technical rebound.

According to OCBC Investment Research:

With the US market closed overnight, the local bourse is likely to take cue from the positive Nikkei start this morning.

Following last Thursday’s sharp decline with another 0.1% loss yesterday, the index could be poised for a mild technical rebound today.

However, sentiments are still very cautious at the moment. As such, we are unlikely to see investors accumulating stocks aggressively in the near term.

We still peg the immediate resistance at 3425 minor support-turned-resistance; the next obstacle lies at the 3465 recent peak.

On the downside, the immediate support is pegged at the 3383 level (last Thursday’s intraday low), with the subsequent base at the 3320 key resistance-turned-support.