ATTEMPTING TO BREAK...
December 22, 2011
INVESTORS found a fresh catalyst to extend the market’s advance to a fourth day.US equities staged its biggest one-day surge in a long while following better-than-expected housing market numbers. The fate of Europe continues to hang in the balance even as it took the backseat in influencing the day’s trades.
The PSEI added 26.7 points (0.6%) settling at 4,268.88 even briefly breaching the 4,370 resistance in early trades, eventually inviting profit-taking. Since Friday, the market has gained 86.21 points (2.01%) in what could be considered, in certain respects, part of the anticipated year-end window-dressing. We can even stretch the reference to a “Santa Claus”- rally, albeit admittedly, his tote-bag doesn’t seem to be filled much with gifts the market would’ve wanted.
* Index finally breaks out of a consolidation band;
* Tips the bull trend line traced back to 2003 low; upside penetration & restoration above the “bull” line at ~4,380.
* Index already past the 61.8% line of the drop from 3,563.65 (8/2/2011) to 3,715.01 (9/26/11), suggesting a potential full recovery to the top.
* Interim resistance at 4,370, while intermediate level at 4,400; long-term objective is 4,560;
* Interim support at 4,330, extending to 4,300 psychological barrier; major support line at 4,270.
All sectors closed higher except for Industrial, which slipped-0.1% to 7,077.26. Property counters on the other led the market with its 1.6% advance. Market breadth turned positive with 100 issues advancing against 54 decliners while 41 were unchanged. Value turnover reached php5.16 billion on 1.546 shares exchanged. As of now, we're crossing our fingers that the market price will continue to surge for Christmas. Stay cautious and have a blessed holiday to all.
source: Philstock Research
Posted by jov3n- trader202. Posted In : Investing
