Top Ten Smart Money Moves – April 1, 2020
Top Ten Smart Money Moves, starting January 2015, is the official trading newsletter of The Responsible Trader to promote his advocacy, Responsible Trading. This newsletter contains the previous day’s data from PSE, the Top Ten Foreign Buying and Selling, Top Ten in Total Traded Value, including Trading Notes based on the data of the previous day. This newsletter is given free to all the friends of The Responsible Trader and to members of the Facebook group and the other organizations where he is a member. For the previous issue where complete details about the newsletter was fully discussed, please refer to: Daily Top Tens October 17, 2014.
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As promised in my last post, Back from the Hack, we are resuming all our activities both in our website and Facebook starting August 1, 2019.
This section of our website has been running for the past five years. Perhaps you are asking, why Top Ten Smart Money Moves? This is what I have written in my new book: “Swing Trading with TRT – A Definitive Guide for Swing Trading the Philippine Stock Market.”
“SMART MONEY
The PSE achieved a milestone by the end of the year 2018 when they reported that the number of stock market accounts broke past the one million mark as a result of the substantial increase in online accounts.
Retail investors owned most of the stock market accounts, representing 97.5% of the total accounts while the remaining 2.5% is held by the institutional investors also considered as smart money.
While we, the retail traders, are big in number, we are small in terms of influence in the stock market because more than 50% of the Total Traded Value Daily is accounted for the institutional investors whose transactions are focused mostly on a handful of their selected stocks.
In our Website, we have a regular feature “Top Ten Smart Money Moves” where we monitor the Top Ten stocks being bought and sold by the smart money.
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Trading Notes for Today – (Based on April 1, 2020 Data)
Total Traded Value – PhP 5.577 Billion – Low
Advances Declines – (Ideal is 2:1) 99 Advances vs. 87 Declines = 1.14:1 Neutral
Total Foreign Buying PhP 2.730 Billion
Total Foreign Selling – (PhP 3.148) Billion
Net Foreign Buying (Selling) – (PhP0.418) Billion – 13th day of Net Foreign Selling after a day of Net Foreign Buying
Data from the Philippine Stock Exchange
Screenshot courtesy of PSE.com.ph
PSE HEAT MAP
Screenshot courtesy of PSEGET
Top Ten Foreign Buying and Selling
Top Ten in Total Traded Value
Top Ten Gainers and Losers
From now on, I will just quote the related article from Business World so that we will have everything in one piece:
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Stocks climb on expectations of slower inflation
April 1, 2020 | 9:00 pm
THE MAIN INDEX sustained its climb yesterday as investors focused on expectations that inflation slowed in March amid the virus outbreak.
The 30-member Philippine Stock Exchange index (PSEi) picked up 87.29 points or 1.64% to 5,408.52 on Wednesday. The broader all shares index also gained 41.04 points or 1.26% to 3,278.81.
“Philippine shares started the second quarter on an optimistic note as investors are hoping the market has bottomed, with many strategists expecting a ‘V’ shaped recovery, a sharp drop in GDP (gross domestic product) in the (second quarter) and a swift snapback in the (third quarter),” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a mobile message.
The Bangko Sentral ng Pilipinas (BSP) said on Tuesday it expects March headline inflation to ease to 2-2.8% from 2.6% in February. The driver would be the drop in oil prices and the stable food prices due to the implementation of a price freeze amid the declaration of a state of calamity in the country.
Like Mr. Limlingan, Philstocks Financial, Inc. Research Associate Claire T. Alviar pointed to this reason to be among the confidence boosters of investors in yesterday’s trading.
She added the expansion of China’s manufacturing output was also a catalyst for growth, after the country reported a Purchasing Managers’ Index (PMI) of 52 in March earlier this week, exceeding expectations.
“Service sector had the biggest gain today given the slower inflation forecast of BSP as investors anticipate that this sector would benefit the most… This pushed the market in the green territory, despite World Bank’s 3% GDP growth forecast for the Philippines in 2020,” Ms. Alviar said in a text message.
Services rose 27.02 points or 2.26% to 1,219.06 on Wednesday. Other sectoral indices also advanced: holding firms by 94.39 points or 1.80% to 5,327.91; mining and oil by 56.25 points or 1.35% to 4,218.15; financials by 15.77 points or 1.28% to 1,239.41; property by 29.69 points or 1.08% to 2,777.99; and industrial by 50.92 points or 0.80% to 6,412.63.
Value turnover ended at P5.58 billion with 498.18 million issues switching hands, down from Tuesday’s P7.42 billion with 546.31 million issues.
Some 99 names ended higher, 87 names ended lower, and 41 names ended unchanged yesterday.
Net foreign selling narrowed to P418.75 million on Wednesday from P634.52 million on Tuesday.
Meanwhile, Wall Street’s three major indexes tumbled on Tuesday, with the Dow registering its biggest quarterly decline since 1987 and the S&P 500 suffering its deepest quarterly drop since the financial crisis on growing evidence of massive economic damage from the coronavirus pandemic.
The Dow Jones Industrial Average fell 410.32 points or 1.84% to 21,917.16; the S&P 500 lost 42.06 points or 1.60% to 2,584.59; and the Nasdaq Composite dropped 74.05 points or 0.95% to 7,700.10. — Denise A. Valdez with Reuters
Source: https://www.bworldonline.com/stocks-climb-on-expectations-of-slower-inflation/
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In line with our VISION, A RESPONSIBLE TRADER IN EVERY FILIPINOS HOME, we aim to continue promoting financial literacy on the area of stock market trading and investing to our countrymen both here and abroad through the following:
1. We have successfully launched “Swing Trading with TRT – a Definitive Guide for Swing Trading the Philippine Stock Market” last September 2, 2019. This book is the second in our Responsible Trader Education Series.
You can download Chapter 1 and see the Table of Contents here: https://drive.google.com/file/d/1NZEABnQMiQ_zenEMs0lPFWweX4WBxBHg/view?usp=sharing
The first book, “The Responsible Trader – a Thinking Person’s Guide for Trading the Philippine Stock Market” provided all the basic knowledge that a trader needs to know in order to trade the Philippine Stock Market effectively and efficiently. The first book is about the basics. This second book is about the specifics.
2. The Book: “The Responsible Trader – a Thinking Person’s Guide for Trading the Philippine Stock Market” now earned the name “The Bible of Philippine Trading.” You can download Chapter 1, Section 1 of the book here: http://theresponsibletrader.com/the-responsible-trader-hope-for-trading-knowledge-test/. For those interested in the hard copy, please send email to: ninjatrader919@gmail.com Subject: The Responsible Trader – Hard Copy.
As requested by those abroad and those who want the book in digital form, we have produced an eBook version. For those interested please send email to: ninjatrader19@gmail.com Subject: The Responsible Trader – eBook Version.
The book can also be ordered online through our publisher, Central Book Supply. Just go to: http://central.com.ph/bookstoreplus then click Search – The Responsible Trader.
3. The Website: :http://www.theresponsibletrader.com where we publish our daily newsletter Top Ten Smart Money Moves, Stock Trading Lessons, and Inspirational Materials. (FREE)
4. The YouTube Channel: https://www.youtube.com/theresponsibletrader – where you can learn the course “Master’s Certificate in Technical Analysis” which was simplified in an easily understood manner. You can download these videos and learn them at your own convenient time. (FREE)
5. My Slideshare: http://www.slideshare.net/TheResponsibleTrader – where you can view and download copy of the Powerpoint Presentation of my TRT-POV (The Responsible Trader’s Point of View) of the videos posted in our Youtube Channel. (FREE)
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Good luck on all your TRADES today.
DISCLAIMER There is a very high degree of risk involved in TRADING. Past results are not indicative of future returns. Nothing contained in this newsletter constitutes a solicitation, recommendation, PROMOTION or endorsement of any security. In accordance with the Responsible TRADER’s Creed: I will never tell and you take full responsibility for all your TRADING results
NOTES: Please take note of the following changes. Effective August 6, 2015: 1. Caption Market Breadth has been changed to Total Traded Value to simplify the presentation. 2. Market Breadth is expressed in terms of Number of Advances and Declines. Expressing this as a Ratio by using the larger number as Numerator we derive the Market Sentiment whether Bullish or Bearish. 3. Based on Past three-year data of Average Total Traded Values, following classifications will be used to make the presentation more relevant to present times. a. Low – Total Traded Value less than PhP 8 Billion b. Medium – Total Traded Value Php 8 Billion but not more than P15 Billion c. High – Total Traded Value more than Php 15 Billion.
Starting with August 11, 2017 data we are including the Top Ten Gainers and Losers for a more comprehensive coverage of significant stock movements during the day.