MSCI Philippines Index Pivots; Sets the Stage for the PSEi
The MSCI Philippines Index, which an index that is closely followed by foreign institutional investors as it is designed to measure the performance of the large and mid cap segments of the Philippine market, has formally marked the end of its bear wave. This index usually moves ahead of the PSEi as it is more concentrated with 18 constituents covering 85% of the Philippine equity universe as compared to the PSEi’s 30. Technically, one can see that the MSCI Philippines Index has already pivoted off a notable inverted head and shoulders base last January 23, 2023. In the process of doing so, the index has likewise brought itself above its key 200-day moving average for the first time since April 2022. With the said pivot, the index may then establish a fresh bull leg that may deliver it back to its pre-pandemic high of around 33.40, giving it an 18% upside from its present level. Moreover, with the pivot in the MSCI Philippines Index, we can expect the same to occur to our very own Philippine Stock Exchange Index or PSEi. Once the PSEi clears its nearest resistance of 6,800, then it may be able to set itself en route to its pre-pandemic high of 7,500 as well.
_____
To know more about the Trading Edge Equity Advisor, kindly click HERE. Subscribe now to receive email alerts before the price moves! Here’s what our students and subscribers say. 🙂
*Consensus target price or average target price given by the major foreign and local brokers of various stocks on top of index names are available in our Equity Advisor!
