SINGAPORE STOCKS AND STI: WHAT’S NEXT?

Singapore Stocks
Dear readers, following my previous post on the Singapore Stocks market and STI where I shared that the current Singapore stocks are pretty much overbought, the STI retreated only to go up again. So what does the current movement of the local stocks market bode for Singapore stocks next?
Well, a look at the STI ETF, an ETF which tracks the STI suggests that the current resistance at $3.27 remains strong. Unless there is a convincing breakthrough of this resistance, the STI should remain range-bound for now. This means a somewhat unattractive level to enter into for investors.

To exemplify this further, currently there is no STI constituent stocks which are Oversold. This means that it is not as attractive a level as before to enter into these stocks, unless one believes that there are good macro factors to support an uptrend of global equities currently. Join the emailing list to receive regular Financial and Singapore stocks newsletters too! Like" me on Singapore Stocks Investing Facebook page to receive all posts on your Facebook as well as read more articles. Follow me on Twitter too.