Excerpt:
"...once such price action is completed then the probability of a relief turn around for now can be anticipated nearing the end of the 2nd quarter trading. It would not be a full turn around as a base pattern needs to be formed before an actual build up can be viewed with increase in volumes and fresh catalyst from external forces.
In essence a completed formation combined with other elements to support a greater probability of a full price recovery should well be present accompanied by a strong fundamental catalyst that would give the technical formation a solid foundation for a significant rally in the making. "
End result after the fact: After the price extension reflected twice at 6923 /6929 from June 22-26; the PSEI marked a 7838 high as of August 1st, 2018.
"...once such price action is completed then the probability of a relief turn around for now can be anticipated nearing the end of the 2nd quarter trading. It would not be a full turn around as a base pattern needs to be formed before an actual build up can be viewed with increase in volumes and fresh catalyst from external forces.
In essence a completed formation combined with other elements to support a greater probability of a full price recovery should well be present accompanied by a strong fundamental catalyst that would give the technical formation a solid foundation for a significant rally in the making. "
End result after the fact: After the price extension reflected twice at 6923 /6929 from June 22-26; the PSEI marked a 7838 high as of August 1st, 2018.
PSEI Extension
Likewise, the monthly chart shows the first low on the way down & higher low on the way up, the PSEI marked at 6923. Click here to revisit the overlay chart to have a comparative analysis of the price action where they came from a major correction before and after prices have moved from the week ending Aug 3, 2018 Watch for our next market info share, where we define & identify how 'Investing & Trading by Correlation' with the other sector indices that extend and maximizes the profitability by tracking the PSEI components after marking a 6923/29 low; while trading a two (2) way open trade window with it's US counterpart #MSCI #EPHE Philippine #ETF registered 28.80 low in the US market respectively.
It's all about #VALUE in trading & Investment Portfolio Management.
Book a 101 day session and learn the intricacies of trading the financial markets for the right reasons.
Do send us an email or msg us on site.
With the gradual return of some FDI into the local bourse & US investors renewed interest in equities after the tech sell off both major market indices have stood firm contrary to the continuing trade spat between the two major economies.
ReplyDeleteThe next market to watch for is still the 10 year Treasury yield that may soon make a statement well above the 3pct level. Which at this point even JPM Jaime Dimon call of a further rise is expected sometime in the near future.
And this is in correlation with the continuing weakness of emerging markets foreign exchange rates as the USD resiliency remains firm heading forward with the rise of US interest rates.
ReplyDeleteAdded Value information between the Philippines and Indonesia Turns Around in a Surprise Rally. And a one month return on equity at 9.3% for PH, a 6.1% for Indonesia, Emerging Markets at 1.7%, while China is -5.6% as of current levels.
ReplyDeleteComparative Analysis by the numbers.
MSCI EM valuation overview; current valuations and averages for last 10 years
Link: https://plus.google.com/+JSTAlexander/posts/PPUnuk1ebEm