Some charts : web

While everybody's eyes are on ISM, let's talk about WEB which no one else has anyway.  Just the other day I showed my friend what the chart of WEB looks like and I was telling him how it would hit the trendline soon.  Well, this chart is about a day or two old, and we've in fact hit this trendline.

Notice that everytime this trendline is hit, WEB appears to have diminished buyers and more sellers than usual before bouncing.  The breakout from last month's ascending triangle shows a 5 peso move from 15.75-16 which points to around 21 if this trendline bounce occurs next week.

I will stake longneck's life that it will.

Some charts for the week, spotlight: oil play

Yes it's me, talking about my most hated commodity, evil oil.  In our past article, we researched on how much of the oil movement is actually 60 to 90% based on speculation only and not on real demand movement.  Way before that, we even touched how local pump prices seem to lead crude oil markets in raising their prices, while lagging crude oil declines in lowering their prices in the decline of crude last year.

Well, here comes oil again, in a textbook ascending triangle formation.  The ascending triangle is a bullish formation that usually forms during an uptrend as a continuation pattern.  

 Read more... (300 words, 3 images, estimated 1:12 mins reading time)

Daily Market Notes June 16, 2009

DOW 187.13  -2.13%  8,612.13
NASDAQ 42.42 -2.26%  1,838.46
S&P 22.49  -2.38%  923.72

The New York branch of the Federal Reserve reported its Empire State Manufacturing Index fell to -9.4% in June from -4.6% in May, indicating difficult times in the sector and presenting a headwind for economic growth.

U.S. treasury yields declined across most tenors with the 10-year and30-year papers dropping by 8.4bps to 3.71% and 4.56%, respectively. Thus the US dollar rose against major pairs, against gold, metals, and oil.

PSEi                 2,514.17         DOWN   98.68
value php      4,028,274,775.00

Wall street's long overdue bloodbath did not spare asian equities from responding with a similar selloff today.

By closing, even though there were several force closed up index issues at the last second, we were down almost 4% with volume.

PSEI downtrend and 60 rsi sells still hold

PSEI DAILY CHART

As mentioned in our Daily Market Notes section in our forum last January, For many months, our very own psei failed to reach its slightly-over-a-year long downtrend. always going down right before we hit that downtrend line.

This really started in the creation of the downtrend peaks (lower highs) of  October, November, December 2008.  Notice the green arrows (which turn down on or before the down trendline), and their corresponding red arrow RSIs which failed to breach 60.

Note that in this graph, rsi blue horizontal line is at around 60, while rsi blue horizontal line below is at 20. The red represented default 30 70 levels.

It was repeated many times.  Read more... (485 words, 1 image, estimated 1:56 mins reading time)

PSEi 6/13/08 PHILIPPINE STOCK MARKET TECHNICAL ANALYSIS

PRICE AND TURNOVER
Close: 2,554.75
Change: 9.86(0.39%)
Value: 2,719,993,000

MARKET BREADTH
Net Advancing Issues: 15
Net Up Volume: -639,781,870
Net Foreign Buying: -599,240,543

TRENDS
* MAJOR UPTREND | Broken trendline | Corrective wave | Prior support 2034 | Prior resistance 3896
* INTERMEDIATE DOWNTREND | Directional wave | No relevant prior support | Prior resistance 2903
* SHORT TERM PROVISIONAL DOWNTREND | Downswing | No relevant prior support | Prior resistance 2868

Copyright (c) Whipsaw 2008. All rights reserved. Whipsaw Blog is open by invitation only.  DISCLAIMER. Posts appearing in this blog are solely intended for the study, research, and practical application of technical analysis and do not constitute recommendations or solicitations to invest or trade in specific stock securities. The author does not guarantee the accuracy of the charts and the underlying data  Read more... (169 words, 1 image, estimated 41 secs reading time)

DJIA 6/13/08 STOCK MARKET TECHNICAL ANALYSIS

PRICE AND TURNOVER
Close 12,307.35
Change 165.77 (1.37%)
Volume 846.9M

MARKET BREADTH NYSE
Net Advancing Issues +1534
Net New High -117
Net Up Volume +2,394,880,104

TRENDS
*PROVISIONAL PRIMARY DOWNTREND | Directional wave | Prior support 11634 | Prior resistance 13136
*INTERMEDIATE DOWNTREND | Broken trendline

| Directional wave | Prior Support 11731 | Resistance 13136
*SHORT TERM PROVISIONAL DOWNTREND | Directional wave | Prior support 12076 | Resistance 12610

   Read more... (194 words, 1 image, estimated 47 secs reading time)

PSEi June 2008 outlook

PSEi DAILY CHART with WEEKLY CHART IN INNER WINDOW

Shown in the inner window is the PSEi weekly chart with two opposing signals. One, an already broken support of the 5 year uptrendline. The second one is an impending upwards crossover in the MACD, which should generate a buy if this happens.  But that is only a pre-emption.  It is not valid unless proven in hindsight.  But in the here and now, the signal of bearishness for the support broken is stronger since it has already happened.  What would negate this 5 year uptrend breakdown is a clear break above 3100 (as of this time period, 3100 is the key resistance) with volume.   Read more... (532 words, 4 images, estimated 2:08 mins reading time)

PSEi 3050 fulfilled

PSEI DAILY CHART 

Owing to the previously discussed bullish divergence sell off exhaustion, index did indeed rally to 3050 based on green arrow prediction and hit resistance and corrected immediately after from there.

What should happen now, for 3300 to possibly materialize?  For hopeful short term bulls, The ensuing correction should take us as far up above the recent low of 2773 (encircled in yellow) as possible, to make for a convincing higher low. This hoped for move is symbolized in blue arrow.

What should not happen, is marked in red arrow, or a new lower low, which is lower than 2773 (encircled in yellow). That will probably validate with impunity the strength of 3300, or perhaps remove it off the table altogether.   Read more... (197 words, 1 image, estimated 47 secs reading time)