Daily Markets Briefing: STI down 0.3%

Expect another pullback today.

According to OCBC, the pull-back on Wall Street overnight is likely to cue the local bourse to a negative opening this morning.

Here's more from OCBC:

Meanwhile, we noticed that a clear bearish engulfing candlestick pattern has emerged for the STI, following a 0.3% loss yesterday.

Should the index end lower today, this could confirm the bearish reversal pattern and point the index towards a more extended retreat in the days ahead.

For now, we have pegged the immediate obstacle at the 3360 level (yesterday’s intraday high), with the next hurdle at the 3380 key peak.

On the downside, the immediate support is now tagged at the 3315 resistance-turned-support, followed by the next base at the 3280 key trough.