Uptrend
The STI showed the strong uptrend that I was hoping for. It is now forming Subwave iii (brown) of Wave 3 (red) (not shown). You can see from the chart that the STI has broken out of the base correction channel shown by the blue parallel lines. The uptrend is rather sharp.
You can see that Subwave i (brown) had a small breakaway gap and Subwave iii (brown) has what is known as an acceleration gap. The sharp rise, the break above the base channel, and the acceleration gap affirm that this is a wave 3 formation. More often than not, the gap in a wave 3 is roughly in the middle of the wave. So we could see Subwave iii rising to about 3278, before forming the Subwave iv correction.
You can tiptoe back into the market focussing on market leaders such as the banks. Make sure you monitor closely, as we are living in very uncertain times.