The STI’s somewhat underperformance was partly attributed to a decline in DBS Group Holdings’ share price which fell by $1.13 to 34.27 in a series of black candles during the week. Following this move, DBS may need to consolidate sideways before making its next major move. If DBS stabilises in the week of Apr 11-14, the STI is likely to stabilise.
The Hang Seng Index firmed during the week, ending the week of Apr 4-8 at 21,872, below the twice tested resistance area around 22,300 and the still declining 50-day moving average, currently at 22,628. The chart pattern of the HSI remains weaker than the STI. There has been some volume expansion for the HSI but this needs to materialise on white candle days to support an all round firmer phase, and this has not occurred yet.
