DBS chart. Source from www.chartnexus.com

DBS has something in common with OCBC and UOB based on the current chart patterns. All 3 counters are trading near the 2008 year low. To be more precise, DBS has closed just under the $16.50 support level which is also the 2008 year low. Any rebound will be likely resisted at the price gap between $16.98 and $16.80. Confidence in the financial sector has been shaken after the sudden bankruptcy filing by Lehman Brothers. Although our local banks are limited in exposure to the US subprime crisis, the negative sentiment may cap any gains of in the banking sector. Should there be a global financial crisis, banking stocks have got a lot of room to fall.