Trading Stocks, Market Indices and Futures Archive
If this 7-year resistance in SiMSCI is not broken, it could be here to stay. Investors could exit quickly on any bearish sign. They could decide quickly that it is more worthwhile to trade a well established range than to challenge a significant resistance with a buy-and-hold strategy.
October 2017, Singapore STI up 154.17 pts or 4.79%. Keppel Corp best performer up 15.56%. Jardine Strategic worst. 26 stocks advance, 3 decline, 1 flat.
XLP fell out of a 9-year trend line after printing a Head and Shoulders bearish reversal pattern. This could be a real break. XLP and XLRE are leading indicators of stock market bearishness.
SiMSCI follows a 30-month cycle between late 2006 to present according to this chart. If true, local stock market is reaching a top soon followed by a bottom by end of 2018.
Besides Energy, Consumer Staples and Real Estate are next worst stock sectors. This is what they are printing. Keep an eye in case they could be your early bear indicator. XLP and XLRE charts.
End of Q3 2017 (quarterly) and end of September (monthly) performance of Straits Times Index Constituents. This quarter we see Jardine Strategic replace SIA Engineering w.e.f. 18 Sep.
Support and resistance works because of market participants' actions and expectations. Charts, chart features like support and resistance are windows into market participants' mass psychology. Case study.