With nothing really earthshaking to move the market in either direction, the PSEi went on a generally sideways direction for the past week.

The first question that must be answered is are we still bullish despite the break of the earlier trendline back in mid-August?  The answer is yes.  The trendline was broken to signify that the recent trend was already finished. But this does not necessarily mean that the market will correct although we did give out warnings as a precaution that this could drop.  What happened was something that was better.  It went sideways to continue the uptrend.  Everyone is now waiting for 3000 to be broken.  In the meantime, the market has been teasing us with the idea of hitting 3000.

The moving averages are still giving us a bullish sentiment with the current setup.  The MACD has been rebounding from a recent dip to nearly zero.  This now gives us the impression that the momentum for the index is picking up again.

It’s time to go hunting again for those hard to find gems in the market.  Good luck!

Recommendation: Buy selectively
Resistance: 3000