Nightmare
The STI dropped drastically today with a gap down. It is still trapped within the orange channel. Furthermore a Bearish Island Reversal has formed. Note the two parallel dotted green lines showing a gap which isolates the daily bars from 11 Nov 2022 to 9 Mar 2023 from the daily bars before and after. The bars above the gap is like an island, and hence the name of the structure. The bullish action above the gap has turned bearish and hence it is called a Bearish Island Reversal. This structure predicts that the downtrend will continue to be deep and severe. It is likely that the 61.8% Fibonacci retracement line will not be a strong enough support.