The Philippine Stock Exchange Index (PSEi) has set another all time high level yet again when it reached 4997 but it pulled back far from that level when the index closed the week at 4893.

The moving averages have now been set up in the bullish setting and for the moment, they confirm the uptrend that we are experiencing.  The MACD lines have momentarily gone sideways but are still considered to be bullish as it continues to stay above the zero line.

Should the index correct from this point, we expect the support to be at 4700, where the resistance of the trading range is set.  Should it fall further, then we expect the 50MA to serve as the next support at 4625.  However, with the bull market still in place, we don’t expect the index to fall too much.

Recommendation: Hold
Support: 4700