Trader’s Logbook PSE Stocks Worth Watching March 4 – March 8, 2013
Last week we look into ABS(0.66%), EW(0%), and CPG (10.70%), LIHC(0%) and PAX(2.22%). Still a good return for a single week. This week we will be looking at BPI, DNL, EEI, PAXYS and ALI.
BANK OF THE PHILIPPINE ISLANDS (BPI)
Last week we saw BPI touches its 20-day SMA BPI: are you going to bounce now? and speculated a bounce. Although it did not happen the next day at the closing, Friday’s action seem to be more promising as we see a candlestick which looks like a Hammer appears on our chart. This candlestick shows that after the bears pushed the price down, the bulls are becoming more visible. The lower shadow shows that the bears failed to continue driving the price down.
D&L INDUSTRIES, INC. (DNL)
Are we done testing our support zone? Last Friday was a good one for holders as DNL rallied for 4%. At this time holders can breath with ease. We see a more bullish sentiment on this stock and may soon try to break the resistance. We see on our chart that 23.6% Fibonacci retracement level is quite a strong support. Will there be another large green candlestick?
EEI CORPORATION (EEI)
Last time we looked at EEI was around September of last year and we commented that it is trending upward. It still is although what we are seeing recently is a sideways movement. I think the recent movement is a good one for RSI to drop because it has been in the overbought level for quite some time. Looking at the chart, it might create a rectangle formation which is regarded as a continuation pattern that forms as a trading range during a “pause” in the trend.
PAXYS, INC. (PAX)
The last two trading days was a good one. Does PAX bottomed out and bounced? Will there be another set of rallies this week? Looks like PAX has just started to look better on chart. As we see on its daily chart, price of PAX has entered into the resistance zone with biggest challenge near 61.8% Fibonacci Retracement level. Although not much trade has been registered last week, some traders who were late to look at this may soon join the bandwagon. In case it turn sour, our support will be the 76.4% level.
AYALA LAND, INC. (ALI)
ALI which corrected for almost 4% last week may find support at around 23.6% Fibonacci Retracement level if it will continue to go down. 20-day SMA line is also within our support zone which gives us a good reason to speculate for a technical bounce. For those who are eager to enter ALI, your wait may soon be over.
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