Sunday, May 27, 2012

PSE Index Chart Analysis for the Week(May 27 to June 2, 2012)

Figure 1: PSE Index Chart

We had a very boring market last week. I am expecting a possible pullback towards its breakout point but did not materialize. Momentum is still strongly bias sideways to toward direction. Negative thing is the index is now entering the overbought condition which increases the likelihood for our index to continue consolidating/correcting this week. It is better to stay out of the market as long as the RSI resistance is not yet broken.

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