Longneck’s UCC’s (Useful Chit-Chats) Nov 12 ‘09
November 12, 2009 by longneck
Markets continue to power higher adding 26pts today, and today I actually felt the index increase, as I am holding BDO and AC.
Our market’s behavior right now is the STRONG ones go stronger, and the weak ones may tag along but eventually they remain weak. It is quite hard to time your entry in this kind of an environment, esp if you are not able to catch the stock’s lows.
If a stock has been moving up for many days already, chances are you will be afraid to chase prices, thus risk getting left behind. As I have observed — the stocks that move look like they are ALL chasing something in the bigger and grander scheme of things. Take ANI 2 weeks back, or PX, NIhao, ISM, and ACR recently, or CPM which has been going on for almost close to 3 weeks now.
The idea is to land that ‘jackpot play’ , and just let your profits run. The magnitude of the run is usually double the price, but of course easier said than done, as who really knows how to filter the real plays from the fluke plays, right> ?? unless you know the jockey, or better yet that you are the jockey.. hehe..
Joking aside, I feel there could still be plays like these out there. My possible candidates are GEO, MIC, TUNA and MUSX, as they are the ones that moved with volume today. LIHC (maybe), because it is part of JAP’s magnificent 7, but it did looked weak today, maybe even the F Yap group can still be played as well. Well, I am just making wild guesses here, as PX, ISM, NI, ACR, and CPM are all quite high already.. It is really very hard to cherry pick the right ones, it really takes a bit of luck, and probably some inside info.
Anyways, MPI did bounce off that P2.50 psychological support. Up, up, and away from here ??? Probably not, this could just be a DCB.
The Ayalas (ALI and AC) are quite sttrong today, but are now nearing their respective resistances. The Lopez group is still searching for a place to make a soft landing. The banks looked good today led by BDO, and could very well still be in play.
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