SGX Singapore: Technical Analysis Outlook 28th Jan

Market Review for STI: Share prices opened lower on Wednesday with the Straits Times Index down 4.87 points to 3,407.33.Singapore shares pared gains as investors booked profits while waiting for fresh leads, including a statement from the Federal Reserve early tomorrow morning after the end of its two-day policy meeting. Shares rose earlier after the Monetary Authority of Singapore sprang a surprise by saying it will slow down the appreciation of the local currency.

STI Day Performance

Open: 3405.07

High: 3427.19

Low: 3404.17

Close: 3419.15

Change(Points): +6.95

% Change: +0.20%

Volume: 1338.8M

Rise: 213

Fall: 162

Unch: 415

Market forecast for STI: STI was consolidation face today. We may expect same trend in STI.

STRAITS TIME LEVELS

Support 1: 390

Support 2: 3370

Support 3: 3350

Resistance 1: 3460

Resistance 2: 3500

Resistance 3: 3550

Technical Indicators: RSI is at 63 and CCI is at 146.

Top Gainers: NOBLE.SG, WILMAR INTL.SG, KEPPEL CORP.SG, SPH.SG, GLOBAL LOGISTIC.SG

Top Losers: JMH USD.SG, CAPITAMALL TRUST.SG, THAIBEV.SG, ASCENDAS REIT.SG, GOLDEN AGRI-RES.SG

Important Factor for today:-

• Singapore shares pared gains as investors booked profits while waiting for fresh leads, including a statement from the Federal Reserve early tomorrow morning after the end of its two-day policy meeting.
• Singapore's central bank has downgraded its inflation forecasts amid lower oil prices and weaker global economic prospects.Core inflation, which excludes private road transport and accommodation costs, is now expected at 0.5% to 1.5% this year, down from a previous projection of 2% to 3%, the Monetary Authority of Singapore said in a statement today.Its 2015 forecast for headline inflation now ranges from minus 0.5% to 0.5%, compared with 0.5% to 1.5% previously.
• Interest rates here are expected to increase in tandem with those in the United States, regardless of the Monetary Authority of Singapore's (MAS) surprise policy announcement.
• The Singapore dollar on Wednesday hit its weakest in nearly four and a half years, driving losses among emerging Asian currencies, as regional central banks may follow the city-state's unexpected monetary policy easing to tackle deflation.
• The Fed is widely expected to raise interest rates sometime in the second half of 2015 as the US economy improves and inflation remains benign. As interest rates rise, property prices in Hong Kong and Singapore may fall by as much as 5 percent this year, according to a report on prime residential real estate in the region by property consultant Knight Frank.