Singapore Straits Times Index may be forming a  Head and Shoulders with the neckline at about 3,120. Successful forming of this Head and Shoulders will send STI down to 2,928. Be cautious! Some negative factors to trigger the bear:

• War in Korea Peninsula
• European Debt Crisis
• China continue to tighthen the Monetary Policy

However, STI may continue the up trend if the patterns fails with some positive factors:

• Hot Money is flowing to Asia.
• Year End Window Dressing Effects.

Trade with Cautious!