Trader’s Logbook PSE Stocks Worth Watching December 17 – 21, 2012
This week I have listed 5 stocks that are worth monitoring. If you are to trade these stocks, you have to intently monitor it and enter at a most possible bottom price. Our list of PSE Stocks worth watching are: ANI, BDO, BEL, CAL and LR. Technical Analysis below:
AGRINURTURE, INCORPORATED (ANI)
ANI – Looks like ANI have just begun its ascend last week. It finished with 4.82% and most of the come back happened last Friday when it hits 6.85% to close 7.18 a share. Will there be a continuation to the rally? It was only two weeks ago when we thought ANI looks appealing and although it didn’t move on where we want it to be, the last-last week’s Hammer seemed to be the cue for the bulls. The recently concluded week showed us that price closed above the lower Bollinger Band which suggests that bulls are taking the show. There might be some more juice to squeeze on ANI before it will correct. Was the rally a late reaction to this news? “AgriNurture taps packaging firm for coconut water venture”
BDO UNIBANK, INC. (BDO)
BDO – For those holding BDO, there might be a strong headwind coming as depicted by our weekly chart. The rally on the first week of December which gave us 7.42% was followed by a retrace. Price declined by 5% in a week. The two last candlesticks showed us a Harami. The Bearish Harami Pattern is a sign of a disparity about the stock’s health. Bulls continue further as shown by large green real body but then we see the small red real body which shows some uncertainty. This shows the bulls’ upward drive has weakened and now a trend reversal is possible. Also it moved below the upper band of Bollinger band. If you will also look at the daily chart, it shows that the price is approaching the middle band. But don’t worry, you are supposed to wait for this to dip to buy more shares, right?
BELLE CORPORATION (BEL)
BEL – Are we at the bottom of this stock’s trading range? Looks like it but one should be careful as it might also go down further. Price of BEL is moving within a rectangle formation on weekly chart.
A Rectangle is a continuation pattern that forms as a trading range during a pause in the trend. The pattern is identifiable by two comparable highs and two comparable lows. The highs and lows can be connected to form two parallel lines that make up the top and bottom of a rectangle. Rectangles are sometimes referred to as trading ranges, consolidation zones or congestion areas.
Rectangle pattern is not complete until a breakout has occurred. Sometimes clues can be found, but the direction of the breakout is usually not determinable beforehand.
CALATA CORPORATION (CAL)
CAL – A decline of 16.44% last week and RSI at 16 for this stock. Looks like the stock that is favorite to most traders are now in a bad shape. Current price at 4.88 a share is way below the IPO price of 7.5 When will this rebound? Based on current situation, this means that all the traders who trade the stocks publicly are all in paper loss? Except the investors who bought at par value? So what will these traders do in order to at least break even? This stock is worth monitoring as price touches the lower band of Bollinger band but be careful since it virtually doesn’t have a support right now other than its psychological support of 4.5 and 4.0
LEISURE & RESORTS WORLD CORP. (LR)
LR – few weeks ago we saw a hammer followed by weeks of rallies. This time on our weekly chart, we can see similar candlesticks. Will it have a similar effect? Coincidentally, both have the same RSI. Only big difference between them is that the previous candlestick is just below the middle band while the latest is approaching lower band. The chart is saying a lot of things. This stock is worth monitoring.
Don’t let greed rule your trading activity. A case in point was VMC. It rallied on Monday by 9% and while everyone was still wanting for more, I already took profit. The next two days it went down by a total of 9%+ and some traders incurred paper loses. The next day it went up again but not as high as Monday. It could have been a fire exit but greed creeps in again to some traders. Friday it went down by 4%.
If you’d like your stocks in the next Trader’s Logbook 5 PSE Stocks Analysis Weekly, don’t hesitate to inform us via comment box below.
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