Daily Markets Briefing: STI down 0.8%

Expect more losses today.

According to OCBC, the mixed and muted reactions by the US indices overnight are unlikely to have much impact on the local bourse this morning.

Here's more from OCBC:

Meanwhile, the STI continued to slide lower with a 0.8% loss yesterday; this after breaching its 1.5-year key uptrend support two sessions back.

We expect the index to start forming a near term base as it approaches the 3280 immediate support today. A technical rebound from this support could potentially send the index back towards the 3350 immediate support-turned-resistance.

Above that, the next obstacle lies at the 3390 minor support-turned-resistance. On the downside, we see the next base at the 3200 key trough.