Since i have shared my homework for Singapore Stock market analysis homework for the last few weeks, i thought i might as well share more as a form of follow up for educational purposes.
A couple of weeks back, i share my analysis and how i believed UOB is consolidating for a breakout. Last week, it broke out of the triangle which i have drawn. Will it continue to go downhill?
US market did a strong rally on Friday. I expect Singapore to be doing the same tomorrow when the market opens. Which is also about time if you look at the STI weekly and daily chart. Although both are still in its downtrend, but it is ranging side way, and now sitting on the lower end of its range which suggest a higher potential of a bounce away from this bottom. Refer to chart below.
UOB has always been in tune to STI movement. If STI heads upwards, i expect UOB to follow suit. But if UOB breaks above the triangle range i have drawn, UOB has reversed its trend. However, when STI hits 3200 again, so will UOB meet its resistance again.
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NOTE: All information provided “as is” for informational purposes only, not intended for trading purposes or advice.