Possibility of further volatility

"In the short term, the index should be under the pressure of negative sentiment," the brokerage house said in a research note.

The market is under selling pressure in the aftermath of the bombing at the Ratchaprasong Intersection. 

Statistics compiled by Asia Plus showed that Thai shares usually recovered within 1-5 days after violent actions in Bangkok.

The index ended lower for five consecutive days after bombings on the New Year's Eve in 2006. After the cumulative loss of 9.44 per cent, it headed up on the sixth day.

Bombings and M79 and M16 firing in Bangkok during April 8-19, 2010 also brought about a 12.03 per cent plunge in the SET index in five days. 

On May 26, 2013, the index lost 0.89 per cent following the explosion at Soi Ramkhahaeng 43/1. It ended higher on the next day. 

"The transaction volume, at Bt78.3 billion yesterday, could indicate that the negative sentiment was fully absorbed. If the index ends higher today, it means the market is no longer in panic mode," it said.

In case of a hike in the index, it foresees the resistance line at 1,388 points and the next at 1,395 points. 

The index ended the morning session on Wednesday with a gain of 5.43 points or 0.40 per cent, to 1,378.04 points. It lost 2.56 per cent yesterday when stocks in all sectors dived, led by those in the hotel and transport sectors. The hotel sector index was down 9.12 per cent.