After a rapid recovery from an oversold positive divergence, the STI is now facing a familiar foe: 3120. Also in play is the top of the downtrend channel. Interestingly, the decline in the STI has occured in 3 waves so far. A break above 3120 here, will mean at least a re-test of the highs in the medium-term. On the other hand, a breakdown to reach 2900 will complete 5 waves, and change the outlook decisively.
Posts
