Jan 13, 2023

Juan G. Barredo
Chief Technical Analyst
juanis.barredo@colfinancial.com
GLOBAL SCOREBOARD
Issue Current Change % YTD %

Markets in Review Philippines

Peso-$
6,834
54.928
124.19
0.128
1.85
0.234
4.07
(1.47)
MSCI Phils 28.17 0.46 1.66 7.56
PLDT US 25.34 (0.21) (0.82) 11.14
DJIA 34,190 217.0 0.64 3.15
SP500 3,983 13.56 0.34 3.74
Nasdaq 11,001 69.43 0.64 5.11
Germany 15,058 110.39 0.74 8.15
Nikkei 26,450 3.82 0.01 1.36
Hong Kong 21,514 78.05 0.36 8.76
China 3,163 1.61 0.05 2.40
US 30Yr Bond 131.75 1.54 1.18 4.46
10-Yr Yield 3.444% (0.097) (2.74) (11.24)
Dollar Index 101.72 (1.21) (1.18) (1.50)
Gold 1,898.80 19.90 1.06 3.98
Oil 78.39 0.98 1.27 (2.33)
CRB Index 273.77 2.50 0.92 (1.43)

PSEi jumps solidly keeping the rally flame open;

US market proceed to rally helping sentiment PHILIPPINE MOST ACTIVES
Stock Value Last Change %
• The PSE Index (6,833) was up 124-pts (+1.85%)
recovering back into its rally after a 2-day pullback BDO 577-M 114 4.10 3.73%
SM 415-M 904 4.00 0.44%
• The index broke out of 6,600 and could still look ICT 391-M 203 3.00 1.50%
for its previous highs 6,814-6,883 and, if strong JFC 336-M 242 0.40 0.17%
enough, perhaps eye 7,100-7,200 URC 322-M 140.30 1.60 1.15%
EMI 312-M 20.15 0.00 0.00%
• The Dow and Nasdaq were both up 0.64%, leading ACEN 295-M 6.95 -0.06 -0.86%
the US higher after US inflation dropped to 6.5% TEL 259-M 1405 -15.00 -1.06%
continuing its downward trend AC 246-M 732 24.50 3.46%
WLCON 236-M 32.00 1.30 4.23%
• The PSEi may retake the realistic to optimistic
scenarios we had earlier reviewed, and if so, could
allow for some quick and selective trades as its Note: All opinions and estimates constitute the judgment of COL’s Equity
tests (and hopefully breaks) resistance… after Research Dept as of the date of the report and are subject to change
without notice. The report is for informational purposes only and is not
which, a fresh consolidation may need to ensue intended as an offer or solicitation for purchase or sale of a security.
 Jan 13, 2023

Market Spotlight
PSEi lunges up after a two-day correction;
rally extension still in stride New Year ? Optimistic
Rally Extension
The PSEi managed to move on with its rally, climbing by 124-pts
(+1.85%), and lengthening its recovery extension as it now ?
breaks over its Dec highs. This very much presents itself open to Realistic
driving towards our optimistic scenario, which could resemble
the swing action last seen in 2019 to 2020. If so, we could see
index prices close in on the 7,000-7,200 range. This may enable
more short-term trades by mainline stocks and perhaps see
some switching and rotation to others along the way and after.
After which a likely consolidation may then ensue – but one
whose downside should refrain from lounging back to the 6,000
level or lower. 2023
US action is also proving helpful as a recent small range break
on the upside is allowing all three major indices to recoup
decently. We could see the Dow and Sp500 try to make it back
to December highs. Last nights upmove was fueled by a drop
in Us inflation, now ticking at 6.5% from a previous 7.1%. This
New Year
helped US Equities and Bonds to rally, but put pressure into
Yields and the Dollar (allowing the Peso to strengthen). Rally Extension
These reduced some headwinds from local sentiment and
prodded stocks here at home higher. The top index up movers
are shown below, many of which still implore us to stay on the
long side, at least for the very short-term, if not longer. Some of
these and more will like still show rally action allowing traders to
hold and stay positioned until overbought threats or resistance
limits show or approach. This keep our prospective January rally
scenario open and tradable.
2019
 Jan 13, 2023

Global Market Review

$SPX (stockcharts code) 3,983
Sp500 Index +0.34%

Stock Trend Sideways

Sideways
Small Rectangle
Chart Formation
Breakout?

Support 1 & 2 3800 3725

Resistance 1 & 2 3909 4100

Trading Action

The SP500 was up again Thursday

proceeding with its small Rectangle break.
It has also broken over 3,909 (100-day
EMA) and could now eye 4,100 to try to
fully escape corrective clutches. Hold with
a stop at its recent base

EPHE $28.17
MSCI Philippines Index +1.64%

Stock Trend Sideways

Uptrend

Chart Formation Rectangle Break

Support 1 & 2 27.00 25.50

Resistance 1 & 2 29.11 30.17

Trading Action

EPHE jumped after a 2-day reaction after

earlier breaking out from its Rectangular
pattern (>27.00). It now still stands along
its rally path to resistance. After hitting its
target a fresh consolidation may ensue

PHI $25.34
PLDT US -0.82%

Stock Trend Sideways

Downtrend
Sideways
Chart Formation Oversold rally

Support 1 & 2 22.30 20.20

Resistance 1 & 2 26.40 29.00

Trading Action

PHI eased after a 2-day rally that closed in

on resistance. An earlier rally is trying to
possibly narrow its distance to next
resistance (its gap at $26.40). Look to
lighten closer to R1 or R2 if possible