Top Ten Smart Money Moves – August 6, 2019
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 6, 2019 Data)
Total Traded Value – PhP 9.714 Billion – Medium
Advances Declines – (Ideal is 2:1) 47 Declines vs. 165 Advances = 3.51:1 Bearish
Total Foreign Buying PhP 4.616
Total Foreign Selling – (PhP 6.291) Billion
Net Foreign Buying (Selling) – (PhP 1.675) Billion – 2nd 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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Local shares drop further on yuan’s devaluation
August 6, 2019 | 9:00 pm
By Arra B. Francia, Senior Reporter
LOCAL EQUITIES retreated further on Tuesday, as trade war tensions escalated after the United States called out China for allegedly manipulating its currency.
The benchmark Philippine Stock Exchange index (PSEi) fell 1.56% or 123.27 points to close at 7,766.75 yesterday, continuing the previous session’s decline. The broader all-shares index likewise plunged 1.18% or 57.20 points to 4,763.91.
“The bloodshed trickled down to Philippine shares brought about by US and Asia as trade war continues and investors flee from equities to safe haven assets such as bonds and gold,” Philstocks Financial, Inc. Research Associate Piper Chaucer E. Tan said in a text message.
US President Donald J. Trump last week proposed an additional 10% tariff on $300 billion worth of Chinese imports, including smartphones, toys, and other consumer goods.
Tensions further escalated when the US called China a “currency manipulator” following the yuan’s drop against the dollar on Monday.
With this, the Dow Jones Industrial Average sunk 2.9% or 767.27 points to 25,717.74. The S&P 500 index plummeted 2.98% or 87.31 points to 2,844.74, while the Nasdaq Composite was sold down 3.47% or 278.03 points to 7,726.04.
AAA Southeast Equities, Inc. Research Head Christopher John Mangun noted that the PSEi is already down by 4.5% for the week, but cited the strong economic fundamentals that could support a recovery.
“Inflation came in at 2.4%, the low end of the consensus. We have Q2 GDP (gross domestic product) coming in on Thursday and I’m still hoping it comes in above 6%. We will end the week lower but I’m banking on a recovery before the week is up,” Mr. Mangun said in an e-mail.
The Philippine Statistics Authority reported Tuesday that inflation eased to a two-year low of 2.4% in July. This matched the median yield from a BusinessWorld poll of 17 analysts and a research group taken last week.
All sectoral indices moved to negative territory, with the mining and oil counter falling the most as it dropped 2.01% or 165.47 points to 8,030.31. Financials slumped 1.71% or 31.18 points to 1,783.33; holding firms fell 1.69% or 130.76 points to 7,568.04; industrials lost 1.54% or 171.29 points to 10,946.18; services slipped 1.39% or 22.09 points to 1,561.84; and property dropped 1.17% or 49.09 points to 4,125.28.
Turnover swelled to P9.71 billion after some 1.40 billion issues switched hands, against Monday’s P6.37 billion.
Philstocks’ Mr. Tan noted that the value turnover was above average as most investors unloaded their shares, while only two index firms were spared from the negativity.
Foreign investors remained net sellers at P1.68 billion, higher than Monday’s P1.19 billion.
Decliners swamped advancers, 165 to 47, while 37 names were unchanged.
Source: https://www.bworldonline.com/local-shares-drop-further-on-yuans-devaluation/
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In line with our VISION, A RESPONSIBLE 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. 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.
2. The Website: :http://www.theresponsibletrader.com where we publish our daily newsletter Top Ten Smart Money Moves, Stock Trading Lessons, and Inspirational Materials. (FREE)
3. 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)
4. 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.