SET Index : Midday Update Tuesday Sept 27th
September 27, 2011 Leave a comment
A bounce of sorts is not enough. Let us spell out the technicals very clearly here : Anything less than a close above price resistance at 941-942 by Thursday at the very latest (and preferably much sooner) will be a bad omen for the market. A break above 942 will give hope for an advance to the first gap at 947-955, but even then it will not be enough to really change matters we are afraid. That would require a rally above 1060 on a return of strong foreign buying. Unlikely. There is also key resistance from 965 to around 972 on the SET.
A failure to pass 942 by Thursday should push the Index back down again to 880 or lower, and do not forget the European issues are still red hot with destructive news – nothing has been sorted – nothing is any better, and it is still a huge risk for markets. Do not believe CNBC etc, these people know little. Europe will get worse before it gets better. Of that we are 100% sure