The STI is up 0.2% at 3,154.91, with 142 gainers in the broad market vs 625 decliners, signalling generally positive sentiment after Wall Street’s rise overnight and the local market’s recovering from its lows late yesterday to close flat.

Volume is predictably thin again, at 259 million shares worth $262 million.

“The STI was trading in negative territory for most of yesterday before ending flat during the closing. This speaks of the indecisiveness between buyers and sellers in the market. The next few days’ trading are critical to the direction of the index,” says UOB KayHian.

“However, odds are currently stacked against the index with moving averages turning more bearish and momentum to the downside gaining in the MACD indicator.”

The key band for the index remains 3,118-3,218. Shipbuilders are in focus today: STX OSV (MS7.SG) is up 1.8% at $1.13 after it announces an order, while Yangzijiang (BS6.SG) is up 1.1% at $1.91 on a yard buy.