The December 14 Report

Market Commentary - December 14

Wow. A day after I said that 3,600 was a strong support, today's performance was like a slap to my face. We started weak and there were no brakes for today's skid. We fell to hell at 3,538, down 87 points. At one point we were recovering from a 60 point deficit to just 50, but all hell broke loose at the 11AM mark.

Foreigners continued to dump local stocks like there was no tomorrow. Hello? There are still about two weeks left in the month. Pambihira, pagbigyan niyo naman kami! @#$#@%!

If we do not bounce back on Monday, hello 3,300, goodbye year end rally.

We didn't even track the DOW's performance, when they actually closed up 40 points. Intraday though, the DOW was crazy, winding up and down from a 100 point down to your close of 40 points up. Volatility is the name of the game, and skilled traders can still make money in this market. But like I said, if you want to trade, do a day trade. That's it. Preserve your capital.

Yogi bear is in, and Red Bull is out. I don't see anyone saying we'll be hitting 3,800 anymore. During the first half of the year, it was like the trumpet song of every analyst. PSEi will close at a new high of 4000. The only thing new this December, is a break in the tradition of the year end window dressing.

I am thinking, that on the fundamental side, our Peso's strength has been hurting foreign funds already. Our stocks are now more expensive to hold on to. And if next year, the dollar continues to fall, would it turn off foreign funds? Maybe that's why they're shifting their funds?

I'm injecting some side comments since I'll go nuts if I maintain my serious tone amidst this crazy market today.

23 stocks up (there were up stocks??), 106 down, 40 unchanged (or rather, SPARED). Total trades today were a lowly 9,618. (Oh and I am sure all these trades were cut losses)

New 52-wk high : MFIN (Wow meron pa palang nag 52 wk high, this is its second day here)
New 52 Wk low PAX (Poor Pax, this used to be BB's darling, now, it's in the cellar) (I thought there were many new 52 week lows what with the market today hehehe)

Active stock was still TEL 3,000 (-1.48%) (TEL is at the support already!!!!! Oh no!!!!!)
Top Gainer was MFIN 3.80 (+49%)
Top Loser was APR 3.30 (-24.29%) (The biggest losers are those who are in long positions. Hay. Kakalungkot ang market na ito)

Today's volume: 1,763,057,919
Value is 4,184,115,000

* All values are based from Technistock.

Foreign Houses: (blast you blast you! di man lang dinahandahan....waaaaaaa)
DEU +59M
CLSA +25M
MACQ -234M (3rd selling day)
JPM +101M (this is a surprise, kanina akala ko panay selling)
UBS -472M (pambihira tinapon lang yata binili nung ilang araw)
ABN -133M (3rd selling day)
DBP -75M (parang UBS, inubos lang binili)
PEP -60 M (2nd selling day)

Looks like heavy selling. No other comments your honor.

STOCK

SMC still strong, but hovering near its resistance. A strong resistance by the way.

Well I won't be adding anymore here unless I want to get shot after the recommendation.

STUCK

Me.

SUCK

Ayala Corp and TEL. These two big weights in the PSEi are treading on dangerous grounds. If they continue their freefall,this will have a big impact on the PSEi , which in turn will make people even more Yogi bearish.

The market, the US recession (aminin na kasi!), this month, but hopefully not the entire 2008!