The December 11 Report

Market Commentary - December 11

On a day that the US went up triple digits, we were DOWN by -3 points to settle at 3,672. Two views - we recently tested the 3,700 level so this pullback could be good as we don't want to breakaway from that level and just zoom up. Another view is that the [expected] FED is already priced in to the markets.

If the FED cuts by 25 bps, then we will probably see a consolidation, then kaput! Market kisses us bye bye. If they make it 50, then there'll be some more legs to the exhausted bull.

The bright side of this is that at one point we were down by 22 points, and we settled at less than that, as mentioned earlier. The index is still above 3,600.

The PSEi should review the index as TEL carries such a big load, that at a correction, it already brings down the market. A big reason why the index recovered today is that TEL recovered from an intraday low of 3,020. Imagine, TEL represents 26% of the index!!!

What with the flat market, as expected up, down and unchanged counters were almost even.

57 stocks up, 54 down, 59 unchanged. Total trades today were a lowly 7,889. One new 52-wk high : CA. 52 Wk low CAT.

Active stock was still TEL 3,050.00 (+0.49%)
Top Gainer was CA 29.00 (+48.72%), and no I don't recommend this. I mean just 4 trades???
Top Loser was CAT 3.45 (-39.71%)

Today's volume: 1,592,966,777
Value is 3,630,618,000

* All values are based from Technistock.

Foreign Houses:
DEU -40M
CLSA -138M
MACQ -164M
JPM -33M
UBS +178M
ABN -265M
DBP +2.6M
PEP +14M

Foreign Selling here. UBS bought TEL, VLL, BPC, LCB, and ALI while they sold FLI, GLO, FGEN, AC and DMC.

STOCK

It's advisable to stay liquid for now. If you plan to trade, make a day trade.

I was able to day trade CYBR today.

PA - looks to be near the support of 0.225 and 0.23. Those who bought yesterday have a 2% gain from yesterday's close of 0.23.

PEP lied low yesterday while it recovered today at 1.42. This could fly tomorrow if it doesn't fall back to the 1.34++ low levels.

I made a list of stocks to put on the radar last week. So far, here's the scorecard:

MUSX - successfully traded. Bought 2.08 sold 2.14. Small gain, but a gain is a gain.
DIZ - successfully traded. Day traded yesterday.
DFNN - for monitoring as it is suspended.
Lopez Stocks - still on my radar. I'm hot on BPC. It's just waiting for MER to move.
PX - looks like an ascending triangle. If the FED cuts rates, and the dollar falls, expect gold
to go up. Historically, PX is the leading stock when it comes to having a gold play
GEO/MIC - still on my radar. If the FED cuts 50 points and our market responds positively,
these two could fly as they have a high correlation to the market's performance.

Also keep a close watch on CMT. It's now on a sideways movement. Two lousy IPOs - SPH and T made major moves today and are going up from a bottom.

STUCK

TBGI. Have some on stuck. If it still doesn't move this week, good riddance.
TBGI : Talagang Babay at goodbye, ipit!

AT. Welcome back to the list.

SUCK

The PSEi. Analysts, and including myself, thought that we'd track the DOW. So far, it has been anything but.