Thin volume seen on short trading week

MANILA, Philippines — Local stocks are expected to move sideways this week with only three trading days due to the Holy Week break.

2TradeAsia.com said the stock market should brace for month and quarter-end window dressing in this shortened trading week, while anticipating potentially lower volumes.

“As markets officially bid adieu to the first quarter, take stock of lessons learned in early 2024 to guide decisions for mid-year: more data points have tilted markets toward more positive outlook in both macro and corporate earnings, but is also crucial to ground expectations and limit exposure to quality – pending actual rate cycle changes,” it said.

Last Friday, profit taking brought down the Philippine Stock Exchange index (PSEi) below the 6,900 level.

Still, the PSEi ended higher by 0.87 percent week-on-week to 6,881.97.

“The runway for upside remains clear despite the apparent end of the late 2023 rally at 6,800 to 6,900,” 2TradeAsia.com said.

Immediate support for this week is seen at 6,800, while resistance is at 7,000.

There will be no trading on March 28 and 29 in observance of Maundy Thursday and Good Friday.