Top Ten Smart Money Moves – April 24, 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 24, 2020 Data)
Total Traded Value – PhP 5.241 Billion – Low
Advances Declines – (Ideal is 2:1) 76 Advances vs. 105 Declines = 1.38:1 Neutral
Total Foreign Buying PhP 1.734 Billion
Total Foreign Selling – (PhP 2.755) Billion
Net Foreign Buying (Selling) – (PhP 1.021) Billion – 28th 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 about a cash flow calculator software so that we will have everything in one piece:
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Stocks to move sideways on earnings, Fed meet
April 27, 2020 | 12:01 am
STOCKS are seen to move sideways this week as investors take cues from company earnings, guidance reports and possible monetary stimulus abroad in light of the ongoing coronavirus disease 2019 (COVID-19) pandemic.
The benchmark Philippine Stock Exchange index (PSEi) lost 134.57 points or 2.4% to close at 5,464.98 on Friday. This resulted in an end to the PSEi’s four-week streak of posting increases as it recorded a 5.6% decline last week.
Value turnover came in slower with a 34.4% drop to an average of P5.02 billion. Foreign money still flowed out of the local bourse, but net selling was halved to an average of P617.95 million from P1.24 billion the week prior.
“Sentiment took a hit from negative pricing on crude futures due to concerns over weak demand and rising supply, as well as the extension of the enhanced community quarantine (ECQ) at home from April 30 to May 15,” online brokerage 2TradeAsia.com said in a market note.
The price of oil in United States dropped to below $0 per barrel at the start of last week, resulting in losses in global equities over worries on its possible impact on economies that rely on oil.
The ECQ was also extended for another two weeks in selected areas after April 30, fueling concerns on how businesses can recover following this halt.
Heading into this week, Timson Securities, Inc. Trader Darren T. Pangan said the market may “go sideways as long as the 5,000 support level holds.”
“The sideways trend may help the market gain strength to eventually retest the 6,000 resistance area. Investors are carefully assessing the market as corporate earnings and management guidance reports continue to be released in the coming weeks,” he said in a text message Sunday.
This trading week be cut to four days as the market is closed on May 1 in observance of Labor Day.
2TradeAsia.com said investors will continue weighing how companies will react to the extension of ECQ in Metro Manila, Central Luzon, Calabarzon (Cavite, Laguna, Batangas, Rizal, and Quezon) and other areas across Luzon, Visayas and Mindanao. It noted other areas that are considered “low-risk” and “moderate risk” will be downgraded to a general community quarantine, which may result in gradual reopening of businesses.
“The soonest the mass testing procedure takes place, the higher the chances in getting the local economy restarted on a ‘new normal’ mode. As the restart process is extended, however, the economic dent is bound to affect firms’ financial performance, but it is not too late to recover these dents so long as the restart process is firmly supported with no further disruptions or relapses,” it said.
Aside from local activities, 2TradeAsia.com said investors will keep watch of the meeting of the US Federal Open Market Committee this week, which is expected to result in more monetary easing. “If another rate cut is supported, this would likely ripple into similar actions in the region,” it said.
The brokerage is putting immediate support for the PSEi within 5,200 to 5,300 and resistance within 5,600 to 5,650. — Denise A. Valdez
Source: https://www.bworldonline.com/stocks-to-move-sideways-on-earnings-fed-meet/
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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.