Archive for January, 2009
The Hong Kong market was closed for the past three days due to the celebration of the Chinese Lunar New Year. It opened 981 points up at 13,560.07, the high for the day, but was met by profit taking. By the afternoon session, the gains were trimmed down to 575 points closing near its low [...]
The market was mixed yesterday but ended higher with only financial and property stocks suffering some losses. Our main index opened at 1860, with an intraday range from 1856 to 1881, and closed at 1869. Volume was light at 500 million shares valued only at P650 million. Foreign activity was flat with buying and selling [...]
Something really seemed wrong with all those bailouts. The recipients act like they’ve been shortchanged. Look at Freddie Mac. It’s asking for an additional $30 billion.
In the meantime, the DJIA is still on a slow path to hell. The market is definitely going sideways and traders are still scratching their head.
As we’ve been saying every [...]
What we feared would happen has happened. Last week, we saw that the PSEi had a hard time getting through the 65-day moving average. This level was acting as a resistance that kept getting heavy as the days pass.
True enough, the index fell further and we are back where we started. As of now, the [...]
The local market continued to slide despite gains on Wall Street from last trading session. The main index opened high yesterday at 1925 and went as low as 1871, which is our near term support. But the PSEi closed in the middle of the days range at 1897. Volume remains thin at 660 million traded [...]
In a bear market, shorting a stock seems like a no-brainer as going long is in a bull market. In a long-only market like the PSEi, I would generally recommend to stay away. If you have any remaining profits, take it. You will have a hard time earning a decent income from this market unless [...]
Looks like the new year has brought us to a realization that we’re still in a rut. Just when we thought the worst has passed us, we have confirmation of how dismal the big banks have been performing. Citigroup lost $8.29B in the last quarter and has lost $28.5B in the last 15 months. Now [...]
The good news is that the PSEi is already out of the symmetrical triangle that we spotted earlier. The bad news is that it can’t seem to get pass the 65-day moving average.
For now, the 65MA is at 1967 and it seems the index has a hard time punching through this level. We presumed that [...]
China Agri (606 HK)
The stock paused after falling three days in a row resting above its 32-day moving average. Buy and pick up with the assumption that the stock is a channel with the trendline being intact.
Preferred Entry: 3.55-3.62
Last Friday, the Hang Seng opened at 14530.83, 200 points higher than Thursday’s big sell off. The index was able to go up even further to as high as 14673.60 but it was sold down later by profit takers at 14,297.41, ending largely unchanged from Thursday closing down 38.47 points or 0.27% at 14377.44.
The HK [...]