Daily Markets Briefing: STI down 0.7%

And it's likely to slide further.

According to OCBC, with STI likely to slip lower again today (already down 0.7% on Thu), they are advising against bottom fishing yet as the market does not look oversold – the daily RSI is just starting to enter into the oversold region.

Here's more from OCBC:

And with the daily MACD also looking very bearish, we could see the index easing further to test 2990 – the current 52-week low set in late Aug ’13.

A breach of that could send the STI tumbling towards 2698 (early Jun ’12 low) in the longer term.

On the upside, we peg the initial hurdle at 3100, ahead of 3250 (various peaks and troughs previously). Note that there is a parabolic buy signal sited around 3121.