this week's TA

i know its abit late but i didn't really have over the weekends to do my analysis. i just had too much fun :)

anyways something different this week, i'll be focusing on 2 indices which i trade on, STI and HSI.

today STI opened 50 points higher, but slowly declined as the trades goes on. last week's trading session saw great movements and volatility within the day, gapping up and down and ranging over 50 points on certain days. one thing to note, because of the recent turmoil in the financial markets, the indices tend to follow suit. thursday and friday saw a slight correction after the 3 day slump, thanks to the US Federal Reserves. good thing for me, this would hopefully give the index some momentum to carry on moving downwards.

looking at RSI, it shows a divergence, having a slight downwards slope at the end of the trading week (even though there was a huge correction), stochastics are moving out of the oversold regions after crossing signal and MACD can't really show me anything clear cut yet.

my opinion on the movement this week: if the index today doesn't manage to sustain a positive movement, the trading week may be bearish. looking at the divergence from RSI, the index doesn't seem to have the momentum for a bullish move, hence, expect the bear to come this week.

now for our favourite index: HSI. same thing as STI, the index opened higher than friday's close, but moved downwards as the trading session moved on. last week, the index had huge movements, its 5 day EMA moving further downwards from its 10 day EMA, but the correction on thursday and friday gave the index some momentum to carry its move downwards this week.

stochastics are moving out of the oversold regions, while RSI is slightly positive in terms of gradient. and again, MACD can't really tell me anything much right now as i can't relate them to the previous 2 indicators.

since today seems bearish for the index, and if it manages to stay in the red, the week's outlook may be bearish, continuing its momentum from last week's session.

well, that's all folks. i'm still abit sleepy, if anything don't make sense, please comment. thank you!