The DJIA has been performing badly. But the PSEi has been testing the resistance at 3360.  Also, the index has still been respecting the uptrend support which is now around 3200.

The index remains bullish as it has been staying above the 3 moving averages.  It is also good to note that the moving averages are in the bullish firing order with the 65-day moving average, being the nearest to the index, serving as support at 3260.

The MACD also confirms that we are still bullish as it continues to oscillate above the zero line although the fast line has crossed below the slow line, reflecting the recent correction in the market.  There could be possible follow through selling in the market but we expected the area of 3200-3260 to be respected.

Knowing that the bears in the US market will be affecting practically every market in the world, it might be wise for us to take whatever profits we have and stay on the sidelines despite our index showing a different picture.

Recommendation: Take profits
Support: 3200