 (Updated 31/1/99)  N.B. Above Chart is abstracted from Metastock Program Last week we did see STI continued its correction as per our last week's preview. However, STI did manage to hold it down move above our critical support at 1382, which suggested that we may still have a bit of upside potential. Dow Jones did survive its critical support last week and look set to surge above new high in early February after the current consolidation. Our worry on Hang Seng was right and it did continue to plunge lower during the week and only managed to pull back some losses on Friday. While Hang Seng will probably have some technical rebound early next week, it should be capped below 10,000 on any rally. However with Dow Jones having its bull mode again, our Singapore market will probably gain some strength from Dow Jones next week's performance. As such, STI will more likely trading at a range of 1,400 to 1,530 with more upside bias. As Chinese New Year is approaching and that corporate results will be coming out soon, suggest to continue the sell on rally strategy. From the wave structure analysis, we have completed the triangle Wave (B) consolidation, it is now going through the Wave (C) of ((B)). IF STI breaks below 1,382, we may assume the end of this four months bear market rally and the continue of the Wave ((C)) bear market to a new low. Alternate count, suggest that we have just completed Wave 5 of Wave (1). A completion of Wave (1) will follow a corrective Wave (2) which will bring the index down towards 1,030 or lower.
Event To Watch For The Coming Weeks/Months
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