The Responsible Trader

Our Daily Dose of Top Tens to go with our Coffee 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 and the Top Ten Foreign Buying and Selling, including the Top Ten in Total Traded Value  also 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.

A simple trading strategy used by some traders in the Philippines is to follow Foreign Buying and Selling since these are considered to be “Smart Money.”  I learned about this when I subscribed to “THE HINT” a Daily Stock Guide published by Stock Market Pilipinas (http://www.stockmarketpilipinas.com).

In my case, before the start of the trading day I review the following data from PSE to determine market breadth and direction. I  look at the Total Value. Range of Total Value of PSEi is from P2.6 Trillion to P8 Billion.  If less than this it means the previous day’s market was not strong.

Another area is the number of Advances and Declines. Ideally the ratio should be 2:1 Advances vs. Declines as indication of a bullish market.  If  on the contrary, it is an indication of a bearish market.

Then I review the activities of the “Smart Money” by checking the Charts to find out if there is a valid reason for their activities.   Then I review my Trading Plan – entry, exit and stop loss points.

Of course, nothing always happens in the stock market and the market is always right so you have to adapt accordingly.

I will always post these Data everyday as a guide to our trading activities.  This is not a recommendation to BUY, HOLD, or SELL.   In accordance with The Responsible Trader’s Creed, I will NEVER tell and you take full responsibility for your trading results.  Good luck on all your trades today.

PSE Data

screenshot courtesy of www.pse.com.ph

 

Top Tens Foreign Buying and Selling

 

 

 

Top  Tens in Total Traded Value

 

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.