BDO, RCB, MPI 1-30-2011

Banks are slaughtered lately due to their "evaluations" by various Firms, I dont really say they are over-evaluated, everything just needs to be in a slow process that needs correction.

One of the good banks is BDO, BDO is also on a short term downtrend in BLUE lines, it really needs a good bounce upwards as its been oversold already with an RSI of 26.xx. Its short term dowtrend lines indicates support of around 50-52 which is a good buying opportunity actually, same as MBT, MBT did a good bounce, but for BDO, im not sure if it has a lot of fans with whaT MBT has.

Long term uptrend line : 50-52, breakdown of which could send it down to 40s, but I think its unlikely to happen as of early 2011.



RCB, the cheapest of all the big banks. Its been a laggard eversince the rally of the banks, and RCB was expected to hit 30s due to high earnings, but the huge correction of the banks made this stock consolidate again.

I have drawn the BLUE lines as its short term trend, a declining triangle trend, or any techincal term they use on it. This is actually my favorite trend line, breakouts of this kind of trend usually floats above anyone else. But as of now, what is scary is.. Its attempting to break down, as what other banks has been doing, break down of its short term trend, could send it down to 24-25. Still its Cheap and still in long term Uptrend.


Manny.. Money.. Manny.. haha.

MPI still long term uptrend, with support of 3 and resistance of 4.5-5.0. Short term, ive drawn a BLUE line of its possible path for the short term outlook. If it got to its possible lows of around 3.30 and below, Im surely a buyer here. especially that NLEX SCTEX and SLEX havent been reporting its additional earnings.

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PSE and DOW JONES 1-30-2011

Every country in the world is now in pressure to raise their Key Rates to fight Inflation. China raised 2x last month, Korea raised 1x, Indonesia raised 1x, others will surely follow including the Philippines maybe this Feb,March 2011. Raising key rates has something of an effect to the stock market. If interest rates in bank offer as much as 10% annual, people in the stock market would tend to shift all funds to 100% safe interest rates.

Philippine Key interest rate stands at 3.xx%, and lets say in around 3 yrs time, inflation is high, having a need to increase interest rates at 6.xx%, that, i guess, 50-50 will stay in banks-equities.

For now, interest rates are not so "interest"ing to have our money multiply with. Equities are still good with usual 10-15% P.A. for the PSE since 1990s.

I still assume that we will follow the short term downtrend BLUE lines which can go as low as 3800 in accordance with the 200MA and long term PINK uptrend line, and that's still my target price to get all my Cash in.



U.S. equities had a resistance to hit with, and guess what, Egypt suddenly rattles with its President sending the U.S. Market to around 2% down in 1 day, could this be the expected correction I've been trying to wait?

If this is really the expected correction, I doubt it would not be very huge in numbers, I would personally welcome a huge correction though :) Rough estimate would be the Pink lines for the short term downtrend, which is needed in ALL equities to correct before hitting new highs.

In its medium term uptrend line, we draw the greyish blue lines to indicate the support to maintain its uptrend trend. Breakdown of its 11,000 support may reverse its uptrend.

MBT update 1-28-2011

After a good strong support we stated early Jan 2011.
http://theamazingchart.blogspot.com/2011/01/fli-and-mbt.html
MBT had a good bounce of its 60-63 support and a very interesting RSI of 30 flat which enables us a good entry point with, so far within this week, it managed to hit 66.xx today.

MBT is short term downtrend, and looks like following to short term dowtrend BLUE line. And still has a small chance to get a highs of 68.xx - 70.xx (its short term downtrend resistance), before it falls down again and continue its consolidation.

In my own trading ways, ill better wait for MBT to go down to 60 again OR breakout of its short term downtrend lines OR hit new RSI lows.

Quoting Tsupitero's Post 1-24-2011

"Take note, the Dow hasn't even dropped yet. There is something strange going on in the US markets right now. While the Dow is still relatively strong, the Nasdaq is visibly diverging. It's like only the blue chips in the US are still strong but most issues are already starting to fall." - Tsupitero

- really like what you said about DOW, indeed strange, unable to fall, but sometimes, really just waiting for something to go downwards. If I am going to choose which path I am, im more into "waiting for DOw to fall down" before reentering the market.

PSE broke its 3950 support as what we were talking about yesterday. Scary yet tempting prices, we'll see where and WHEN can PSE possible find its bottom. Our market really CANNOT follow DOW on its possible 5-10% correction, 10% for PSE = 3500? No way, we cant do that.... "Matutumba" long term uptrend natin.

http://theamazingchart.blogspot.com/2011/01/pse-market-long-term-and-short-term.html

quoting from www.tsupitero.com

Samsung Electronics(Korea) 1-23-2011

Samsung Electronics of KOSPI index spent its good earnings hitting 1,000,000 won, its all time High since it got its IPO.

This is also one of my most observed stocks as most of the ASIA Pacific funds has this stock in their Top 10 Portfolio (including Bank Of China and China Mobile - to be reviewed soon) and I personally Trade the local ING Asia-Pacific Fund and HSBC's Asia Pacific Fund.

Both funds hit also its 52week highs with 10.45 and 54.81 prices respectively upon hitting 1M Won.

With its MACD weakening, and hitting its uptrend resistance, we will expect again a few walls for this stock, and correction, before it could possible see another rounds of 52 week highs.