Top Ten Smart Money Moves – April 7, 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 7, 2020 Data)
Total Traded Value – PhP 6.362 Billion – Low
Advances Declines – (Ideal is 2:1) 125 Advances vs. 72 Declines = 1.74:1 Neutral
Total Foreign Buying PhP 2.873 Billion
Total Foreign Selling – (PhP 3.230) Billion
Net Foreign Buying (Selling) – (PhP0.357) Billion – 17th 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 end higher as inflation eases slightly
April 7, 2020 | 8:08 pm
LOCAL SHARES finished higher on Tuesday as data showing slightly slower inflation in March drove up confidence among investors amid the coronavirus disease 2019 (COVID-19) pandemic.
The 30-member Philippine Stock Exchange index (PSEi) advanced 79.20 points or 1.42% to close at 5,650.01 on Tuesday, while the broader all shares index gained 32.30 points or 0.96% to 3,393.05.
“Philippine shares climbed once more, as inflation remained benign, and as the number of new coronavirus cases in the US appeared to slow down,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a mobile message.
The Philippine Statistics Authority reported a slight slowdown in inflation last month to 2.5% from 2.6% in February. This also eased from the 3.3% recorded in March last year.
The softening is due to the drop in oil prices globally, the price freeze on basic necessities and nearly zero price increase in utilities, Bangko Sentral ng Pilipinas Governor Benjamin E. Diokno said.
Philstocks Financial, Inc. Research Associate Claire T. Alviar said the lower inflation rate gave investors hope that consumption will strengthen during this time, particularly of consumer staples, as the government also announced on Tuesday the extension of the Luzon-wide lockdown until end of April.
The Inter-Agency Task Force in charge of handling the COVID-19 crisis announced Tuesday that President Rodrigo R. Duterte approved its recommendation to extend the enhanced community quarantine over Luzon until April 30.
“Aside from that, the market joined most regional peers in the green as hopes for the slowdown of COVID-19 pandemic have increased, together with different fiscal stimulus packages to cushion the impact of the virus,” Ms. Alviar said.
Records from Johns Hopkins University’s Coronavirus Resource Center showed the number of confirmed cases continued to slow on April 6, recording a daily increase of around 72,900 that day from around 74,700 on Apr. 5 and around 101,500 on Apr. 4.
In the Philippines, the latest tally is at 3,660 confirmed cases, 163 deaths and 73 recoveries as of Monday evening.
Four sub-sectors at the PSE gained at the close of Tuesday’s trading: property added 77.80 points or 2.68% to 2,975.66; industrials picked up 183.06 points or 2.66% to 7,049.39; holding firms increased 118.14 points or 2.15% to 5,599.42; and mining and oil climbed 59.84 points or 1.39% to 4,358.07.
On the other hand, services shed 22.32 points or 1.76% to 1,239.10 and financials dipped 5.86 points or 0.48% to 1,198.45.
Some one billion issues worth P6.36 billion switched hands on Tuesday, rising from Monday’s 757 million issues valued at P4.86 billion.
Advancers stood at 125, decliners at 72, and unchanged names at 43.
Foreign investors remained sellers, but net outflows were trimmed to P357.15 million from P470.75 million on Monday. — Denise A. Valdez
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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.