Spore market (10 Aug 12)

Spore market: could see a slight positive open, following data out this morning that showed GDP contracted less than previously estimated, and as the STI plays catch up with the HSI’s +1% gain yday. The Spore market was closed for the National Day holiday. In the region, Kospi and Nikkei are +0.3% and -0.6% this morning at 8.19am. Technically, the near term indicators for the STI have dipped down. Nevertheless the STI remains within an ascending trend channel. Momentum remains positive unless support at 3020 (coincides with the 200day MA) is broken. Recall earlier this wk, the STI recorded a 52 wk high, touching 3086.94. If the upward trend remains, do not rule out possibility for a test and break of this resistance on the STI’s rebound.