These averages are crucial support points as failure to hold will pull prices back to its
long-term moving average (200-day moving average) which is currently at 7,020, Limlingan said.
Analysts who study charts of past price movements said gold had now found support from a
long-term moving average.
The proposition introduced is that no local job market can sustain job growth above a
long-term moving average. The longer that annual job growth is greater than the
long-term moving average, the more likely it is that a period of job decline will occur.
'Meralco shares have been trading above both its short- and
long-term moving averages for a month now.
We are below short- and
long-term moving averages.'
However, the major trend is up as the markets are currently trading above their short-term, medium-term and
long-term moving averages. Any dip is an opportunity to buy," said Haddad.
We advise to stay light on positions or accumulate issues which are still holding above
long-term moving averages, he said.
A cautious position is still raised this week, especially since some issues have already recovered above their
long-term moving averages. On the other hand, we recommend taking profits on trading positions or sell those which are now trading near resistance, he said.