Inhale.... Exhale.... Exhale some more?

The market corrected through a small volume trading session today and it's really hard to tell if profit taking will continue next week. Sentiments are still bullish with still some room to the upside. The index lost a little over 14 points today, which is seen by analysts as a healthy move. This correction also followed the decline in the Dow overnight. The overseas markets are once again spooked by Greece's problems as well as the Fed hints of caution.

Still, some issues managed a gain such as MEG. MEG continues to establish a higher-low, higher-high pattern which strengthens its uptrend. I plan to increase my position on this stock on the next (hopefully) 'higher-low'.

PNB also continues its trend higher but still trading below par and book value. Before getting into PNB, I would suggest to wait for some kind of pull-back ( at the 29-30/sh level) where the stage will be set again for hopefully, another run.

My strategy for next week: watch out for earnings, Greece, and the US Fed. Persistent Greece and Fed worries could trigger a further market correction of about 5-7%. If earnings are generally good, then the correction brought about by the former could be a good opportunity to buy. If earnings were disappointing, then we are in for a much more deeper correction.

Notice that in analyzing Philippine stocks, I frequently mention the US and the global scenario. That's how much intertwined markets are nowadays.

Happy long weekend to everyone.