Singapore Market Analysis: Singapore shares regain momentum as banks test key resistance
The Straits Times Index (STI) closed at 5744.97, above its 20-day and 50-day averages after a 0.59% daily rise. DBS Group also strengthened and is approaching its 20-day high, while its RSI indicates positive momentum without reaching an extreme level. USD/SGD remains close to its pivot and above its 50-day average, suggesting a range-bound but mildly firm structure. US consumer confidence and JOLTS job openings, both scheduled for Tuesday at 18:00 UAE time, may affect the currency and indirectly influence Singapore assets.
What to watch today
- Straits Times Index (STI): 5729.98, 5748.85 and 5828.50.
- USD/SGD: pivot 1.2787, resistance 1.2810 and support 1.2775.
- DBS Group: pivot R1 at 78.31, pivot R2 at 78.63 and 20-day high at 79.05.
- US CB Consumer Confidence and JOLTS Job Openings at Tue 29 Sep, 18:00 UAE.
Technical analysis
Straits Times Index (STI)
Bullish 5,746.38 +0.62% liveThe Straits Times Index (STI) is above its SMA20 at 5711.81 and SMA50 at 5683.26, with the latest close near the upper part of its 20-day range.
Daily candles, last 90 sessions. Green dashed = support, red dashed = resistance.
The Straits Times Index (STI) rose 0.59% to close at 5744.97. The close is above the SMA20 at 5711.81 and SMA50 at 5683.26, while the 14-day RSI, a momentum measure, is 57.1. This indicates positive momentum without an overstretched reading.
The index is testing the pivot R2 level at 5748.85 after moving above pivot R1 at 5729.98. A sustained hold above 5729.98 would keep attention on 5748.85 and the 20-day high at 5828.50. The 14-day ATR, a measure of typical daily movement, is 51 points, so short-term moves may remain relatively wide.
On the downside, 5711.81 is the first reference because it matches the SMA20, followed by the pivot at 5697.67. A move below those levels would weaken the current recovery structure and bring the pivot S1 at 5678.80 into focus.
USD/SGD
Neutral 1.2779 -0.14% liveUSD/SGD is above its SMA20 at 1.2720 and close to its SMA50 at 1.2772, remaining inside its 20-day range between 1.2627 and 1.2811.
Daily candles, last 90 sessions. Green dashed = support, red dashed = resistance.
USD/SGD slipped 0.14% to 1.2780, but it remains above the SMA20 at 1.2720 and just above the SMA50 at 1.2772. Its RSI is 56.4938, pointing to mildly positive momentum, while the price is close to the pivot at 1.2787.
The first upside reference is pivot R1 at 1.2810, which is also close to the 20-day high at 1.2811. A move beyond that area would place pivot R2 at 1.2822 and the broader 60-day high at 1.2955 on the longer-range watchlist. The 14-day ATR is 0.0045, indicating that normal daily movement can be meaningful relative to the current range.
On the downside, pivot S1 at 1.2775 is the nearest reference, followed by pivot S2 at 1.2753. Holding above these levels would preserve the current range structure, while a break below them would put the SMA20 at 1.2720 back into focus.
DBS Group (D05.SI)
Bullish 78.44 +0.56% liveDBS Group is above its SMA20 at 77.54 and SMA50 at 76.09, with a rising sequence of recent closes and price near its 20-day high.
Daily candles, last 90 sessions. Green dashed = support, red dashed = resistance.
DBS Group gained 0.59% to close at 78.46, extending its five-day rise to 1.42% and its 20-day rise to 1.37%. Price is above the SMA20 at 77.54 and SMA50 at 76.09, while the RSI is 62.75. This reflects firm momentum, although the RSI is closer to the upper half of its recent range.
The close is above the pivot at 77.75 and pivot R1 at 78.31. The next resistance references are pivot R2 at 78.63 and the 20-day high at 79.05. The 14-day ATR is 0.91, so daily fluctuations can be sizable relative to the share price.
Support begins at 77.75, followed by pivot S1 at 77.43. A move below those levels would reduce the strength of the current structure and bring the SMA20 at 77.54 into closer focus.
Market events (next 48 hours)
| Time (UAE) | Currency | Event | Impact | Forecast | Previous |
|---|---|---|---|---|---|
| Tue 29 Sep, 18:00 UAE | USD | CB Consumer Confidence | Medium | 90.1 | 89.4 |
| Tue 29 Sep, 18:00 UAE | USD | JOLTS Job Openings | Medium | 7.23M | 7.27M |
The main scheduled events are the US CB Consumer Confidence report and JOLTS Job Openings, both due Tuesday at 18:00 UAE time. Consumer confidence has a forecast of 90.1 versus 89.4 previously, while JOLTS job openings have a forecast of 7.23 million versus 7.27 million previously.
These releases matter most directly for USD/SGD because US economic readings can influence expectations for the US currency. A stronger-than-expected combination may support the US dollar, while weaker readings may weigh on it. The resulting currency move can also affect the trading tone for the Straits Times Index (STI) and DBS Group, although the response may vary.
Because both releases arrive at the same time, traders may watch for a sharp move around 18:00 UAE time and for confirmation after the initial reaction.
Algo insight: how a rules-based system treats today
A rules-based approach can classify the Straits Times Index (STI) and DBS Group as stronger while they remain above their SMA20 and SMA50 levels. USD/SGD is treated more cautiously because it is near its pivot and inside a relatively contained range.
ATR, or average true range, helps estimate normal movement: 51 points for the Straits Times Index (STI), 0.0045 for USD/SGD and 0.91 for DBS Group. Wider ATR conditions call for wider risk bands and correspondingly smaller position sizing rather than assuming that a move will continue.
Algorithms may reduce exposure or avoid opening new positions around the high-attention 18:00 UAE releases, then reassess after spreads and volatility settle. Session timing can also be used to separate Singapore-market activity from the later US event window, while confirmation above or below the stated pivot and moving-average levels helps limit decisions based on a single price move.
