News / Philippine Stock Market

PSEi Outlook For Apr. 14 - 18, 2008 By Bonner Dytoc April 14, 2008

Somehow, the rally was too good to be true.  We already hurdled the 3000 psychological resistance level with a gap to boot.  However, the market just returned that immediately and we’re back to our same problem from before.

We already confirmed before that the short-term resistance level was broken around the 2950 area.  Things looked quite bullish for the moment, the index was pushed up beyond the 3000 area and many were thinking we’ve turned around.  But this just flitted away immediately when the PSEi went below 3000 again after 3 days.

Currently, we are still going sideways without any clear sign that a reversal is in the offing.  In fact, the index is bearish as the index is still below the 3 moving averages.  This is for the short-term only.  The only consolation I could get out of this chart is that there seems to be a bullish divergence in the MACD.  If this was the case, maybe it might be time to look into some issues.