News / Philippine Stock Market

PSEi Outlook For Sept. 29 - Oct. 3, 2008 By Bonner Dytoc September 29, 2008

The good news is that it seems the PSEi’s descent has come to a halt and the index is now confirmed to be going sideways.

The bad news is that we’re still in a bear market. Currently, the index has just managed to bring itself above the 65-day moving average at 2564 by closing at 2597. The next immediate area of resistance would be at 2630 before it would try to test the 130MA at 2685.

The index’s MACD seems to be aggressively bullish once again. Note the way the fast line has hooked up. The next time the index tests the 130MA, I think it can break that level without any problem.

Even after that level is surpassed, we’re still not out of the woods. The index has to move past the 260MA at 3055 and the major resistance at 3100 before we can even say that the bear market is over.

There will be some opportunities that will present themselves. But you have to choose wisely.