A late post again due to a busy weekend.
Friday was a good day for the market as it rose 88.31 points to a 4-month high to close at 3236.10. This, after it shot up more than 60 points at the beginning of the day.
Alas, I was not able to watch the numbers throughout the day due to heavy work commitment. Double bummer for not being able to comment on trading for the day.
The movements on Friday were a bit unexpected but it seemed to have tracked Wall Street gains. The DOW has not been up above the 13000 since it fell from the spot at the beginning of the 2008. Reports have attributed this rise to be a spark of optimism from the 0.1% fall in unemployment rate, Fed rate cuts and a strengthening greenback . This suggests that the US economy is either turning from a bottom or stagnating and, not tumbling into doom and depression.
Since economists do not expect decoupling of markets to occur anytime soon, I guess we should hold the same expectation. The US market showed moderate gains on Friday after a surge on Thursday. Considering the tracking phenomenon, the STI may show moderate gains on Monday as a result. My current estimate of resistance band holds at 3250 +/- 50.
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