They said the tone has turned much more positive since the government was able to introduce the new Value Added Tax (VAT) on November 1, pressing ahead with a key measure aimed at resolving a chronic budget deficit which has bedevilled the country for years.
For the week to November 4, with just two trading days, the Philippine Stock Exchange composite index rose 3.6 percent or 71.48 points to 2,031.70 points for the best finish since August 12 when it ended at 2,038.10.
The market was closed Monday, Tuesday and Friday for public holidays.
Average daily turnover rose to 790 million shares worth 1.25 billion pesos (22.8 million dollars) from 336 million shares worth 569 million pesos in the previous week.
"We expect the market to be looking up ... (but) on the volatile side because of possible profit-taking" after the market hit three-month highs, said Dianne Sy of Unicapital Securities Inc.
"Even if some traders (opt for) profit-taking, there is still an incentive for traders to invest in companies due to the positive expectations for third quarter results," Sy said.