News / Philippine Stock Market

PSEi Outlook for Sept. 1 - 5 By Bonner Dytoc September 01, 2008

The PSEi is still struggling to keep itself afloat above the 2600 level. To a certain degree, it has been able to do just that so far. Even when the DJIA drops big, the index did not follow suit. And if the PSEi drops, the drop is small.

What the index is currently doing is it is range trading within the 65 and 130-day moving averages, currently at 2582 & 2749 respectively. The MACD has not yet confirmed that we are in a bullish mood because it is still showing us that we are still in a corrective phase. That may soon change if we are able to sustain our momentum by going back to the 3000 level.

Until we see that all indicators confirm the bullish trend, we would like to stay prudent and be selective in our trades.

Recommendation: Buy selectively and cautiously
Support: 2600