Top Ten Smart Money Moves – September 13, 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 September 13, 2019 Data)
Total Traded Value – PhP 4.530 Billion – Low
Advances Declines – (Ideal is 2:1) 111 Advances vs. 69 Declines = 1.61:1 Neutral
Total Foreign Buying PhP 2.379 Billion
Total Foreign Selling – (PhP 2.239) Billion
Net Foreign Buying (Selling) – PhP 0.140 Billion – first day Net Foreign Buying after a day of Net Foreign Selling
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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BSP rate cut signals could provide initial lift
September 16, 2019 | 12:01 am
SHARE PRICES could rise this week as investors react to the Bangko Sentral ng Pilipinas’ (BSP) hint of more cuts in interest rates.
The benchmark Philippine Stock Exchange index (PSEi) surged 0.60% or 47.89 points to close at 7,992.32 on Friday. It ended the week 0.74% higher due to gains in the mining and oil sector as well as the financials counter.
Foreign investors were net buyers for the week at P419.5 million, while turnover stood at P30.81 billion.
“On the early part of next week the local market could climb past the 8,000 level following the rate cut hints of the BSP,” Philstocks Financial, Inc. Research Associate Japhet Louis Tantiangco said in a mobile phone message on Friday.
BSP Governor Benjamin E. Diokno said last Friday that a planned further reduction in interest rates by 25 basis points (bps) could take place before November. The BSP’s Monetary Board will hold its sixth policy review for the year on Sept. 26.
That would bring the year’s total interest rate reduction to 75 bps, after the BSP cut key rates by a total of 50 bps in its May 9 and Aug. 8 meetings. But that would still partially dial back last year’s cumulative 175-bp hike.
Mr. Diokno also said that monetary authorities are assessing whether to adopt further cuts in banks’ reserve requirement ratios in one go or in a phased manner.
Philstocks’ Mr. Tantiangco added that investors will also look at the Federal Open Market Committee’s own Sep. 17-18 policy review.
“If they lower their rates, then our local market could sustain ground above the 8,000 mark. If not however, we may fall back to our 7,800-8,000 trading range,” he said.
TIMELY
For AAA Southeast Equities, Inc. Research Head Christopher John Mangun, investors may be holding on to their funds for the moment due to the number of firms scheduled to conduct an initial public offering (IPO) before the year ends.
“Overall, we remain bullish on local equities in the longer term. Right now may be a good time for investors to position themselves in this market as treasury bonds in the west have been giving negative yields. We may start to see money flow to emerging markets bonds and equities,” Mr. Mangun said in a market report.
This comes amid the general cautiousness seen in international markets due to fears on the global economy’s slowdown triggered by the US-China trade war and the yield curve inversion seen in the US.
“The general investor sentiment remains extremely cautious due to the slowdown in global economic growth and the looming fears over a recession in the world’s biggest economy. However, the Philippine economy could not be in a better spot,” Mr. Mangun said.
Mr. Mangun placed initial market support this week at 7,750-7,630 and resistance at 7,920-8,000. — Arra B. Francia
Source: https://www.bworldonline.com/bsp-rate-cut-signals-could-provide-initial-lift/
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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.