SGD Getting Stronger

US dollar is continuing its bearish trend with respect to the SG dollar. The US dollar index, which tracks the greenback against the currencies of six major US trading partners, has fallen 15% from its peak this year.

The phase chart of US dollar and SG dollar currency pair is clearly on a downtrend. The phase chart has stayed in “Bearish” mode for most of 2009 till date and there is no sign that this trend will reverse any time soon.

One of the main concerns is whether US dollar will lose its status as the main reserve currency. If this happens, it will accelerate the fall of USD.

STI Updates

We are halfway through the month of September. The correction that most people are anticipating is nowhere in sight.

The phase chart for STI is still in "Bullish" phase. The strategy now is still buy on dips and to stay with the bullish uptrend.

So long as the 50 day moving average is not broken, the market should still be on an uptrend.