Top Ten Smart Money Moves – August 20, 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 August 20, 2020 Data)
Total Traded Value – PhP 4.046 Billion – Low
Advances Declines – (Ideal is 2:1) 64 Advances vs. 131 Declines = 2.05:1 Bearish
Total Foreign Buying PhP 1.530 Billion
Total Foreign Selling – (PhP 1.887) Billion
Net Foreign Buying (Selling) – (PhP 0.357) Billion – 4th day of Net Foreign Selling after 2 days 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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Stocks to move sideways on lack of fresh leads
August 24, 2020 | 12:01 am
THE STOCK MARKET is seen moving sideways in the upcoming trading week amid rising coronavirus disease 2019 (COVID-19) cases in the country.
On Thursday, the benchmark Philippine Stock Exchange index (PSEi) fell 36.72 points or 0.6% to end at 6,005.40, while the broader all shares index dropped 18.30 points or 0.51% to 3,573.06.
Markets were closed on Friday for Ninoy Aquino Day.
Philstocks Financial, Inc. Research Associate Claire T. Alviar said in a mobile phone message that the market is expected to move sideways during the trading week amid a lack of catalysts.
Ms. Alviar said the narrative remains the same: rising COVID-19 cases and the waiting game for the development of a vaccine against the said disease.
“But so far, after the implementation of modified enhanced community quarantine in Metro Manila and as it reverted to general community quarantine, there is no risk yet of imposing stricter lockdown measures since the government is saying that the Philippines cannot afford to have stringent community quarantine,” she said.
Online brokerage 2TradeAsia.com said in a market note that economic policies will be a key factor for the market in the next few weeks, such as the signing of the new Bayanihan to Recover as One Act or Bayanihan II.
“The short trading week saw a see-saw battle between bulls and bears, as gains from the government’s quarantine easing were erased later in the week, when bears took helm,” 2TradeAsia.com said.
“At the 6,000 level, the PSEi is back to where it was just prior to the start of the second quarter earnings season in late July. Barring further black swan events plus a steady stream of fiscal support, the opinion that fundamental drivers could only improve relative to the second quarter is not unreasonable at all,” it added.
The Congress on Aug. 20 allotted a total of P165.5 billion under Bayanihan II to fund the government’s fight against COVID-19 and boost economic recovery.
Some P140 billion has been approved for funding while the remaining P25.5 billion will serve as standby funds.
2TradeAsia.com placed the market’s immediate support for the upcoming week at the 6,000 level, secondary support at the 5,800 level and resistance at 6,250.
“Due to lack of strong fresh leads, trading range would be between 5,700 and 6,100,” Philstocks’ Ms. Alviar said.
Meanwhile, a jump in US business activity and home sales helped push global equities and the dollar higher on Friday, counteracting earlier stock declines in Europe.
The Dow Jones Industrial Average rose 190.60 points or 0.69% to 27,930.33. The S&P 500, which broke out of its bear market on Tuesday by recouping pandemic-related losses, powered up 11.65 points, or 0.34%, to 3,397.16. The tech heavy Nasdaq Composite added 46.85 points, or 0.42%, to 11,311.80. — R.M.D. Ochave with Reuters
Source: https://www.bworldonline.com/stocks-to-move-sideways-on-lack-of-fresh-leads/
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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.