Singtel Ltd – Daily timeframe (Update from 19 March 2018)
Current Sentiment: Bearish
Support 1: 3.16 Resistance 1: 3.32
Support 2: 3.10 Resistance 2: 3.43
The bullish momentum from the last update was short-lived as the 3.56 immediate resistance area capped the uptrend. On the daily timeframe, the 200 day moving average was the point where the downtrend restarted. The shooting star rejection off the 200-day moving average on 10/05/18 took price down with the bearish momentum picking up speed recently.
The key support area around the 3.32 level was broken on 30/05/18 with increasing volume suggests further weakness. Keep in mind the 3.32 support area kept a floor on price since February 2018 and have successfully halted the selloff for the past three occasions until the most recent breakout on 30/05/18. Moreover, the 20 day moving average has also crossed below the 60 day moving average on 23/05/18 suggests the immediate trend has turned bearish.
Thus with this strong bearish break below the 3.32 critical support area, the immediate downtrend might accelerate for price to test the 3.16 support area followed 3.10.
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