Philippine Stock Market Commentary

Philippine Stock Market Commentary for January 21, 2010

The upward wedge of the DJIA has closed entering the index to a bearish trend with support at the 10,000 level.  Though indicators look oversold and stochastics are indicating an upcoming rally, further correction is seen.  A clear buying window has not revealed itself for another significant rally to ensue.  Meanwhile, support for the Phisix is still seen at 3,000, and like the DJIA, a correction is also needed.  We maintain our HOLD recommendation on any buying.