US market tried to overcome from market weakness on Friday. However at the close, it succumbed to market forces and Dow was down 127 points. At one point, the Dow index managed to put on a gain of nearly 300 points. The optimism could not hold and the index gave back all the gains plus some extra losses to end at 8852.
The STI index dropped 72 points on Friday in anticipation of further weakness in the US market. The index gave up all the gains made on the first 2 days of the week.
The index has broken through the 62% re-tracement level and is now heading towards the low of 1205 set in March 2003. The support level is at 1848 and 1793.
The daily chart is showing a potential for a double bottom. However the index needs to move above 2218 for the pattern to be valid.
The STI index dropped 72 points on Friday in anticipation of further weakness in the US market. The index gave up all the gains made on the first 2 days of the week.
The index has broken through the 62% re-tracement level and is now heading towards the low of 1205 set in March 2003. The support level is at 1848 and 1793.
The daily chart is showing a potential for a double bottom. However the index needs to move above 2218 for the pattern to be valid.
1 comment:
heya! nice charting. I do hope STI don't go so low and tat the absolute bottom will be 1800 level.
if you are keen in practising charting, you can check out what is posted here.
http://www.pausmiling.org/2008/09/25/technical-analysis-game/
tot it is damn cool. statistics is that in the long run, buy-and-hold is about the same as using TA to trade.
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