Top Ten Smart Money Moves – October 27, 2016
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.
Trading Notes for Today – (Based on October 27, 2016 Data)
Total Traded Value – PhP 6.502 Billion – Low
Market Breadth and Sentiment indicated by Advances Declines Ratio – (Ideal is 2:1 to be considered Bullish or Bearish) 102 Declines vs. 75 Advances = 1.36:1 Neutral
Total Foreign Buying – PhP 3.533 Billion
Total Foreign Selling – (PhP 4.097) Billion
Net Foreign Buying (Selling) –(PhP 0.564 Billion) – 4th day of of Net Foreign Selling after 3 days Net Foreign Buying
Data from the Philippine Stock Exchange
Screenshot courtesy of: www.pse.com.ph
PSE HEAT MAP
Screenshot courtesy of PSEGET
Top Ten Foreign Buying and Selling
Top Ten in Total Traded Value
From now on, I will just quote the related article from Business World so that we will have everything in one piece:
PSEi slides further on US, EU markets’ weakness
Posted on October 28, 2016
STOCKS declined for a sixth consecutive session, weighed down by a slip in European markets and with US earnings expectations affecting overall sentiment.
The Philippine Stock Exchange index (PSEi) fell 49.27 points or 0.65% to close at 7,445.14. Meanwhile, the broader all shares index slid 22.59 points or 0.5% to close at 4,419.30.
“Philippines broke through psychological 7,500 support as the US fell overnight dragged by AAPL’s poor outlook while crude oil continues retreat to its three-week low,” Regina Capital’s Business Development Head Luis A. Limlingan said in a mobile message, referring to Apple, Inc.
A&A Securities, Inc. Head of Market and Research Justino B. Calaycay cited the downward movement of the European markets and the US stocks as “major influences” for yesterday’s decline.
“European markets slipped, weighed down by a drop in commodities and indications the Bank of England isn’t leaning towards easy money,” he said in a market comment e-mailed to reporters.
“US stocks struggled with the DJIA (Dow Jones Industrial average) managing gains of 30 points late-in-the-session. The S&P (Standard & Poor’s) 500 and the Nasdaq fell. Earnings expectations dragged on overall sentiment,” he added.
Moreover, Mr. Calaycay said the market is watching President Rodrigo R. Duterte’s visit to Japan to see if he would bring home as much investments as he did in China last week.
“The $24-billion “Chinese” bacon brought home by the President didn’t stir much enthusiasm from the stock market. It remains to be seen if an equally (or-more-so) sized Japanese “bacon” will. With the market going into an extended weekend however, investors may simply opt to sit out the week and month-ending session Friday,” he said.
“By next week, attention should shift to 3Q (third quarter) corporate earnings narrative, and at least temporarily, a respite from the uncertainties arising from the country’s diplomatic pivot towards the “East.” Further down the road, sometime late November, the all-important 3Q GDP (gross domestic product) will provide the benchmark for the Duterte administration, and quite possibly, the investment outlook.”
Mining & oil moved up 0.23% or 27.43 points to close at 11,519.68, while financials climbed 0.12% or 2.27 points to close at 1,813.97.
Meanwhile, industrials posted a 1.25% loss or 147.80 points to 11,616.75; property followed with a 0.75% slide or 25.12 points to 3,302.38; holding firms dropped 0.68% or 51.65 points to 7,479.16; and services inched down 0.23% or 3.33 points to end at 1,432.18.
Value turnover rose to P6.50 billion after 738.61 million shares changed hands, from the P6.25 billion on Wednesday. There were 75 winners, 102 decliners, while 41 names remained flat.
Investors kept a foreign selling position of P563.95 million yesterday from P613.26 million in net sales seen last Wednesday. — Roy Stephen C. Canivel
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1. 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/
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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 P8 Billion b. Medium – Total Traded Value P8 Billion but not more than P15 Billion c. High – Total Traded Value more than P15 Billion