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Saturday, August 11, 2012

StockWatch (Aug 13-17, 2012): PSEi


PSEi (Chart: Daily  Resistance: 5330  Support: 5210)

For the past 2 weeks the index has been moving sideways, mostly flat. Connecting the peaks and lows for June and July, it seems that the index may be in a symmetrical triangle formation. 

As of the moment, we may be seeing further downward movement from the index as the stochastic momentum index line is now below the moving average.   MACD also seems to be at a point where it is about to move below its moving average line.

Do watch out if the index moves below 5210, which is near the support line connecting the lowest level in June and July.  A move below the support line would indicate the symmetrical triangle breaking downward. 

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