SINGAPORE (June 8): Here is a chart for our technical analysis this week:

STI daily (3,43627)
The chart pattern continues to look precarious despite a nine-point rise over the past five trading sessions by the Straits Times index. The 50- and 100-day moving averages have converged at 3,503. This level is likely to be a resistance level during rebound.

The 200-day moving average held during the week, and continue to rise very gradually, It is now at 3,428, and the index wil find it easier to break below this level. The STI may attempt to whipsaw above 3,503, but pressures are likely to be downwards.

Short-term stochatics is at the bottom of its range and could turn up, relieving some of the downward presssure. The rebound of the past few sessions was on contracting volume, in contrast with the significant expansion in volume when prices fell. This suggests a build up of selling pressure.

Quarterly momentum is forming a downtrend. The weekly chart shows a gradual downturn by annual momentum, with its own weighted moving average turning down a well. This suggests that the main uptrend is probaby over.