Daily Markets Briefing: STI down 0.54%

Expect another pullback today.

According to OCBC, continued weakness on Wall Street overnight is likely to weigh further on local sentiment this morning, extending the STI’s 0.5% slide yesterday.

While the STI tried to retake the key 3000 level, it was unsuccessful; and as before, the inability to convincingly hold above the key 3000 level does not bode well for the market in the near-term.

Here’s more from OCBC:

With the daily technical indicators looking decisively more negative, 2900 is a likely downside target in the near term, especially as volumes start to thin going into the Dec school holidays.

For now, we peg the initial support at 2950, ahead of 2900. On the upside, the next resistance above 3000 is 3049.