Chart of the day: Philippines pushing higher

PUBLISHED : Friday, 29 August, 2014, 1:08am
UPDATED : Friday, 29 August, 2014, 1:08am

The outperformance of Asian equity indices against the rest of the world is typified by the Philippine Composite Index. It has rallied towards the record in May 2013 in a steady progression that is neatly contained inside a trend channel. The 50 and 200-day moving averages are positive and, with the outlook for economic growth in the second quarter improving, the way is open for the index to hit a record next month. The minor caveat is that technical indicators say the index is slightly overbought and bullish momentum is not as strong as might be expected.

Nicole Elliott is a technical analyst