Top Ten Smart Money Moves – October 2, 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 October 2, 2019 Data)
Total Traded Value – PhP 6.139 Billion – Low
Advances Declines – (Ideal is 2:1) 110 Declines vs. 80 Advances = 1.38:1 Neutral
Total Foreign Buying PhP 2.623 Billion
Total Foreign Selling – (PhP 3.121) Billion
Net Foreign Buying (Selling) – (PhP 0.498) Billion – 6th 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 fall further on weak US manufacturing data
October 2, 2019 | 9:00 pm
LOCAL SHARES plunged for the fourth straight session on Wednesday, dragged by news on how the US-China trade war has hit the United States’ manufacturing sector.
The benchmark Philippine Stock Exchange index (PSEi) plummeted 1.66% or 129.18 points to close at 7,610.68 yesterday, while the broader all-shares index likewise dropped 1.09% or 51.36 points to 4,635.68.
“Needless to say it was a bloodbath for the PSEi having been plagued by a drop in US markets last night, as well as the persistent net foreign selling,” Papa Securities Corp. Sales Associate Gabriel Jose F. Perez said in an e-mail on Wednesday.
Wall Street indices ended in the red on Tuesday, with the Dow Jones Industrial Average down by 1.28% or 343.79 points to 26,573.04. The S&P 500 index slumped 1.23% or 36.49 points to 2,940.25, while the Nasdaq Composite index declined 1.13% or 90.65 points to 7,908.68.
“With US markets down on weak factory data indicative of global economic slowdown, this cascaded to most of the regional markets including the Philippines as foreign investors continued its selling in the amount of more than P497 million,” Diversified Securities, Inc. Equity Trader Aniceto K. Pangan said in a text message.
US manufacturing activity tumbled to a more than 10-year low in September as lingering trade tensions weighed on exports, further heightening financial market fears of a sharp slowdown in economic growth in the third quarter.
The Institute for Supply Management said its index of national factory activity dropped 1.3 points to a reading of 47.8 last month, the lowest level since June 2009, when the Great Recession was ending. A reading below 50 indicates contraction in the manufacturing sector, which accounts for about 11% of the US economy.
Back home, all sectoral indices ended in negative territory, led by industrials which fell 1.7% or 178.05 points to 10,254.77.
Financials lost 1.68% or 30.27 points to 1,762.17; property shed 1.65% or 67.04 points to 3,984.62; services went down 1.64% or 25.01 points to 1,492.89; holding firms declined 1.32% or 101.16 points to 7,530.13; while mining and oil slipped 0.58% or 51.35 points to close Wednesday’s session at 8,673.32.
Some 453.98 million issues switched hands valued at P6.14 billion, an improvement from the previous session’s P5.45-billion turnover.
Decliners beat advancers, 110 to 80, while 46 names were unchanged.
Net foreign outflows persisted for the sixth consecutive session at P497.98 million, albeit lower than Tuesday’s P592.65 million.
“With the index’s close today, it may have effectively broken down its initial support area at 7,620 (which was the low last August). More confirmation on whether or not the downward movement will continue is needed however, especially since relative strength index is already oversold,” Papa Securities’ Mr. Perez said on Wednesday. — Arra B. Francia with Reuters
Source: https://www.bworldonline.com/shares-fall-further-on-weak-us-manufacturing-data/
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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. 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.