Daily Markets Briefing: STI down 0.4%

Expect more losses today.

According to OCBC, the muted showing on Wall Street overnight is again unlikely to lift local sentiment much this morning; the Nikkei has opened 0.2% lower.

Here's more from OCBC:

As before, we could see investors continuing to move to the sidelines ahead of the upcoming long weekend (market is shut on Friday and Monday here).

Still, we do note that the STI could stage a technical rebound soon, with the daily RSI now showing oversold signals; but the MACD is still mired deep inside the negative region though.

Hence, we think that failure to convincingly clear the initial 3202 hurdle could encourage investors to sell into strength.

On the downside, we peg the immediate support at 3150, ahead of 3100.