CapitaMall may re-test its resistance at $1.88 tomorrow!

On 20/Apr, Singapore shares ended higher Tuesday, as regional financial and airline stocks gained after Monday's strong decline on an overnight rise in Wall Street.

STI ended 20.44 points (0.7%) higher at 2981.37 points with 1.89 billion shares traded compared with 1.95 billion Monday. In the broader market, gainer outnumbered loser 340 to 170.  Overall today is a session for bargain hunters to snap up recently beaten-down shares especially for airline stocks.

Market sentiment was beginning to perk up as Wall Street stocks rebounded from losses posted on Friday since the announcement of U.S. regulators had filed civil fraud charges against Goldman Sachs. 

"The Goldman Sachs issue has affected global financial markets negatively, as the [civil] fraud charges against the bank emerged at a time when global stock markets were at their highs," said Bae Sung-young at Hyundai Securities in South Korea. "But the Goldman issue won't likely affect fundamentals, limiting the impact on the market. A string of recent and upcoming solid earnings reports and economic data will likely lend support to the market." 

Today SIA were recovering on hopes air travel constraints imposed across most of Europe due to ash from a volcanic eruption in Iceland will ease eventually.

SIA closed at $15.22 (+1.7%) with higher than normal VOL 2.82 million shares traded.

Finally today Capitamall tested its important technical resistance at $1.88 but FAILED and closed at $1.86 forming a black candlestick to indicate its indecisiveness. The VOL traded is at average VOL of 6.43 million shares. Capitamall may re-test $1.88 again tomorrow but failing to break out will most likely result in pullback.

Important Resistance of Capitamall: $1.88

Immediate Support of Capitamall: $1.81 (Based on ascending triangle)

RSI: Neutral at 52%