Weekly Technical view on STI
Weekly wrap of STI: STI formed a Green candle for this week and performed well A Hammer pattern was formed for the week. And STI was able to sustain itself above the level of 3260 A range of 27 points was covered by STI in this week .
Technically the counter has a good support @3251 and the resistance of 3303 where the 50 Days EMA is 3169 & 20 Days EMA is showing 3190.

Macroeconomic factors:

• Housing & Development Board (HDB) launched 6,454 public flats in May, which includes mature and non-mature towns and estates. Total 9707 units are offered this year.
• In China, the manufacturing activities sharply improved and hit its 5 months high.
• The Singapore economy grew 4.9% in Q1 of 2014, slightly lower than the government’s April estimate of 5.1%.
• 1 Domestic wholesale trade in Singapore declined 2.8% due to the weaken domestic sales in petroleum and petroleum products as well as telecommunications and computers sectors (7.6% and 13.4% in domestic sales respectively).
• Singapore’s Industrial Sector grew 9.8% in Q1 faster than the 7% expansion in the previous quarter.
• Singapore’s Government focused on its growth forecasts for both total trade and non-oil domestic exports at 1.0-3.0% in 2014.

Market Forecast for week ahead: Technically STI looks like it would taste for the new resistance and can approach for the level of 3310 global economic factor & market sentiment will cause the major change in the price value of STI.
Technical Indicators: Signal line @14.79 of MACD is above the difference line @33.75 where RSI is at 62.70 CCI is performing at 109.60

Weekly Technical view on KLCI

Weekly wrap of KLCI: KLCI formed a Long Red candle for the week currently KLCI is standing at the major support of 1860 where it opened at 1884.88 and made a high of 1889.47, made a low of 1866.34.
A Long Red candle was formed for the week with a little upper and lower shadow with a long real body where the RSI is above the centre line @61.63 & CCI is 120.12.
Market Forecast for week ahead:

• Technical Indicator MACD difference line is above the Signal line so buying is expected in KLCI
• A bit correction took place in this week and now we expect that some upside will take place.