Philippine PSEi, PSE traded in the US broke down 8-14-2015

Chinese Yuan develation caused global currencies to slide.

Philippine Peso devalued to 46.30 yesterday, from the lows of 44.50 last May 2015. Weaker Peso means weaker stock or equity inflows as well.

We noted that PSE may find a triple bottom near 7250-7300. But upon looking at PSE traded in NYSE, it broke down that triple bottom support.

It may look unusual since we are not there yet, 2weeks ago, it happened 100% same to TEL, NYSE's TEL managed to break down ahead of 2days. Imagine 2 days before PSE's TEL followed.

So I am waiting at the sideline for our local PSE's confirmation.

Jakarta - -20% from top
Thailand - -15% from top
Philippines - -8% from top

Jakarta -20% from the top 8-13-2015

Jakarta is now -20% from the top. P/E is very high at 24x, aside from the reason that earnings is weakening, there is a probability that Asia could be weakening as a whole, especially Thailand -15%. My concern is that PSEi is only -7.5% from the top and at 20.5x PE.