Top Ten Smart Money Moves – March 24, 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 March 24, 2020 Data)
Total Traded Value – PhP 5.086 Billion – Low
Advances Declines – (Ideal is 2:1) 114 Advances vs. 68 Declines = 1.68:1 Neutral
Total Foreign Buying PhP 2.399 Billion
Total Foreign Selling – (PhP 3.453) Billion
Net Foreign Buying (Selling) – (PhP1.054) Billion – 7th 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 rebound on Fed, BSP stimulus measures
March 24, 2020 | 9:00 pm
LOCAL SHARES gained some momentum yesterday as investors reacted to news of monetary easing measures in the Philippines and United States.
The benchmark Philippine Stock Exchange index (PSEi) added 30.90 points or 0.65% to 4,774.27 on Tuesday. The broader all shares index also climbed 20.93 points or 0.71% to 2,947.95.
“The market inched up today as the US Fed pledged quantitative easing measures which seem to be ‘bottomless’,” Timson Securities, Inc. Trader Darren T. Pangan said in a text message on Tuesday.
Regina Capital Development Corp. Head of Sales Luis A. Limlingan pointed to the same driver, but noted that “some gains faded in the end as Senate failed to reach a stimulus agreement.”
The PSEi hit as high as 4,864.86 intraday until gains were trimmed to as low as 4,771.78.
Mr. Limlingan said among the things that helped sustain the climb was the announcement of the Bangko Sentral ng Pilipinas (BSP) that it is reducing big banks’ reserve requirement ratio (RRR) by 200 basis points starting March 30.
The central bank said this is expected to support domestic liquidity to combat the effects of the coronavirus disease 2019 (COVID-19).
“The sudden move is projected to inject an additional P200 billion into the economy and provide some cushion to the perceived slowdown,” Mr. Limlingan said.
Meanwhile, the US Federal Reserve on Monday rolled out an extraordinary array of programs to backstop an economy reeling from sweeping restrictions on commerce that scientists say are needed to slow the coronavirus pandemic and ultimately keep more people safe, Reuters reported.
Back home, sectoral indices at the PSE closed mixed yesterday. Property rose 90.86 points or 3.72% to 2,531.46; holding firms improved 59.04 points or 1.27% to 4,702.65; and mining and oil improved 49.29 points or 1.26% to end Monday’s session at 3,946.76.
On the declining side were industrials, which lost 187.72 points or 3.16% to 5,752.53; services, which fell 10.55 points or 1.01% to 1,030.54; and financials, which dipped 0.26 point or 0.02% to close the day at 1,103.87.
Some 565.34 million issues valued at P5.09 billion switched hands yesterday, from Monday’s 413.31 million issues worth P5.68 billion.
Advancers stood at 114, decliners at 68, and unchanged names at 31.
Net foreign selling grew to P1.05 billion from P443.77 million on Monday.
“Concerns remain as… Fitch…has downgraded its outlook on the Philippines’ full-year gross domestic product from 6% to 4%, (and revised) its outlook on our banking sector from ‘stable’ to ‘negative’. The daily rise in infections will keep investors on their toes until we see signs that it has been contained,” AAA Southeast Equities, Inc. Research Head Christopher John Mangun said in an e-mail. — Denise A. Valdez with Reuters
Source: https://www.bworldonline.com/shares-rebound-on-fed-bsp-stimulus-measures/
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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.