Trying to predict this week’s theme is a real crapshoot.

Greek referendum on Sunday (By the time you are reading this, the result will be known). With the whole world assuming Greece will be exiting, is it time to pull the contrarian trigger and try to go long? To be honest, we’re all not sure.

What I am sure is that the Greek result will take center stage on Monday and get “digested” early in the week, last few day of the week will be FOMC meeting(Wed). That will provide plenty to talk about.

And now let's turn to our Singapore Market...

STI Open: 3,277.9

STI High: 3,357.95

STI Low: 3,267.68

STI Close: 3,342.73

Price Change: +21.83

Percentage Change: +0.66%

Total Volume: 0.957 Billion

Beginning of the week, Greece has made the world stock markets tumble and we can see bloods are everywhere. Looking at Fear & Greed Index for U.S markets. It is at extreme fear of 16.

“Buy when everyone is selling.”

 

But STI managed to bounce from the oversold condition from Monday’s sell-off as worries about Greece defaulting on a loan payment. On Monday, STI opened low at 3,277 but on Friday close high at 3,342.

Keep an eye on support level of 3,300 but we are still facing head wind at 3,350.

Weekly chart MACD ticked up and daily chart MACD is ticking up. With this, I would like to look at blue chips that are oversold badly.

In summary, you cannot think about the week without considering Greece. We have been having hugely volatile markets, tight risk management and discipline are essential.

Reiterate: Trades require protection, no matter how confident you feel.

Best wishes for the week ahead,

Divergence Trader

The post Blood Is Running In The Streets – Weekly Review For 6th Jul 2015 appeared first on Divergence Trader.