The support is simply fantastic. Do not short, when it is near support. For intraday trading, look for hourly signal to long when near support. Current candlestick pattern shows indecision. Traders can choose to stay on the sideline until clear signal appears. Wait for a few candles to appear as candles are still stuck along diagonal neckline (not drawn).
Last week’s comments for reference – (Written on 1 Oct 14)
“STI Index is currently making a long awaited downtrend. Support 1 is at 3,250 followed by Support 2 at 3,220. Candlestick pattern reveals the weakness of the Index and the turning down of MACD supports further downside. Traders to observe RSI break and market reaction at the 2 Support levels to detect reversal.
If the break of neckline (not drawn) of the double top formation is realised, then we are looking at medium term downtrend and reversal will not be so soon.”