Daily Markets Briefing: STI down 0.3%

Expect another decline today.

According to OCBC, uncertainty over the US rate hike and the ongoing issues in Greece could keep local sentiment cautious today.

Here's more from OCBC:

Although the STI has fallen nearly 6.3% from its recent peak, the daily MACD indicator suggests that there could still more downside risk; even though the RSI shows the index as being oversold.

Furthermore, the index has broken below the uptrend support (since Oct 2011), and failure to take this support-turned-resistance (now pegged at 3360) could signal a further pullback to 3149 (start of the recent rally).

In addition, the 30-DMA has just cut down on the 50-DMA and looks poised to slip towards the 100-DMA (currently at 3426).

As such, investors may still be looking to sell into strength on any technical rebound in the near term.