The Straits Times Index peaked at 3,875.77 on 11 October 2007, exactly 364 days ago.
Today, in the wake of an official technical recession, the STI index plunged to its new multi-year low, closing at 1,948.33.
This is 50% from the peak.
Will it go lower before it starts to creep up again? No one knows…
Of course it will go lower. Why? Cos my shares which are custodised with a brokerage house is still being borrowed. I believe that as long as my shares are not returned to me, covered short sellers will be shorting the market and there is still some downside risk.
Check out http://www.sgdividends.blogspot.com where i will be posting my stocks lend to these shortees. when i can find a scanner!
dun think the support is 1700 as many claimed. think there’s more downside and that the market has not tanked. just my pessimistic thoughts.
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