Top Ten Smart Money Moves – April 3, 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 3, 2020 Data)
Total Traded Value – PhP 4.032 Billion – Low
Advances Declines – (Ideal is 2:1) 98 Advances vs. 74 Declines = 1.32:1 Neutral
Total Foreign Buying PhP 1.777 Billion
Total Foreign Selling – (PhP 2.347) Billion
Net Foreign Buying (Selling) – (PhP0.570) Billion – 15th 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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Shares to drop on cautious trading amid outbreak
April 5, 2020 | 8:59 pm
LOCAL SHARES may decline this week as investors are expected to err on the side of caution with the expected extension of the Luzon-wide lockdown due to the lingering coronavirus disease 2019 (COVID-19) outbreak.
The benchmark Philippine Stock Exchange index (PSEi) picked up 4.66 points or 0.09% to 5,346.97 on Friday. It also posted a 1.53% climb on a weekly basis, marking the second straight week the main index closed with a gain.
Value turnover dropped 23% to an average of P5.35 billion week on week. Net foreign selling was trimmed 9% to an average of P703.82 million.
Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco said activity at the local bourse last week was mainly driven by opportunistic investors looking for attractive prices.
He noted, however, that gains last week were smaller than the prior week’s 10.21% climb. “This shows that the bargain hunting has already been tempered, selling pressures are already creeping up as worries over the COVID-19’s economic impact weigh on investors’ sentiment,” Mr. Tantiangco said in a text message.
Luzon has been put under enhanced community quarantine for a month until April 13. But the government is now considering extending the lockdown as the number of COVID-19 cases continue to rise, both locally and abroad.
As of Saturday, the Department of Health reported 3,094 COVID-19 cases in the Philippines, while 144 have died and 57 have recovered. Globally, confirmed cases stood at more than 1.2 million and deaths at more than 64,700 as of Sunday afternoon.
“As local coronavirus cases continue to mount, concerns over a possible extension of the mainland Luzon enhanced community quarantine are likely to weigh on the market,” Mr. Tantiangco said.
“Investors will also continue to assess the pandemic’s adverse effect on the global economy primarily on our country’s top trade and investment partners with the latest evidence available such as the rise in US jobless claims and the contraction of manufacturing activities around the world,” he added.
US reported last week it lost 701,000 jobs in March, putting an end to 113 months of boom and fanning worries of a recession.
Mr. Tantiangco warned if there will be no positive drivers this week to counter COVID-19 worries, selling pressure is expected to dominate the market, which may lead to a breach of the 5,300 support level.
But the trading break on Thursday and Friday in observance of Holy Week may be a driver of the local bourse, online brokerage 2TradeAsia.com said.
“With the global environment on a standstill, this would be a good time to reflect on investment strategies. Long-term positioning is a must if one were to ride on a V-shaped recovery, once emotions tied to COVID-19 ebbs,” it said in a market note.
2TradeAsia.com is putting immediate support for the market at 5,000 and resistance at 5,500. Mr. Tantiangco is putting the next support at 4,850 and current resistance at 5,700. — Denise A. Valdez
Source: https://www.bworldonline.com/shares-to-drop-on-cautious-trading-amid-outbreak/
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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.