StockWatch (Nov 15-19, 2010): PSEi, SMB, ANI, NRCP

PSEi Weekly Chart

PSEi (Chart: Daily Resistance: 4413 Support: 3980)

The index had no respite from the successive sell down that happened the whole week last week. RSI even went below 50 which usually acts as support when RSI comes from the beyond the RSI high of 70. There is still no good indicator of a possible reversal, but based only from the RSI, which is now near RSI low of 30, there is a good possibility that either a short bounce or sideways movement may happen anytime within the week. Upcoming 65 day MA at 3980 might act as support, so watchout for any reversal indicators.

Looking at the weekly chart, the sell down that happened had large spread with considerable value turn over, so I don’t expect the index to continue its upward movement immediately. Sideways to downward movement may happen for the next 2-3 weeks before the index tries to continue its upward movement. But even with these, do watchout for possible bounce that may happen for the stocks nearing RSI of 30 and as much as possible, hold them only for the short term.

SMB (Chart: Daily Resistance: 11.50/12.00 Support: 10)

Amidst the sell down that was happening in the market, SMB was going the other way around defying general market sentiment. SMB brokeout from a symmetrical triangle with a possible target price of 12.00. As of last price, the target price is already near. Expect that this stock may still pack some punches to push through with reaching target price of 12.00, but after that, expect the stock to move downwards for the mean time

ANI (Chart: Daily Resistance: 15 Support: 12.50)

ANI may be one of those stocks that may bounce from lows. The stock is now near previous low of 12.50 and at the same time the RSI is way below the low of RSI 30. Because of these 2 coinciding instances, there is a higher possibility for the stock to bounce from support. Upcoming resistance is at 15, where both the 65 and 130 day MA are both located.

NRCP (Chart: Daily Resistance: 2.04 Support: 1.88)

NRCP brokedown from its upward trend and at the same time the 65 day MA, both of which are bearish signs for the stock. However, for the coming week, there may be a short bounce that would happen for this stock as the RSI is way below the low of 30 and at the same time, the stock is near an upcoming support at 1.88 which is the 130 day MA. There is not much profit for this stock at the current level, but if you are able to get hold of this stock at 1.88, this might give you a quick bang for the short term, but definitely this is not a stock to hold for the long term as the uptrend has already been broken.

StockWatch (June 28 – July 2): PSE, NRCP

PSEi (Chart: Daily Resistance: 3367 Support: 3244)

The index once again went head on with the standing resistance line from June 2008. Unfortunately, the bears are still standing their ground and have again succeeded to prevent the index from moving beyond the resistance line.

The last trading day saw the creation of a white candle that gave a respite from the week long bearish sentiment. For the coming week, if a white candle is also formed with large value turn over for the index, then probably we may see a sideways movement of the index. Otherwise, if the follow through is not realized by the first trading day this week, we may see the index move lower towards the support at 3244 which is the 65 day MA.

NRCP (Chart: Daily Resistance: 1.98 Support: 1.79/1.67)

NRCP went beyond the target price of 1.75 and reached a high of 1.98. For the coming week expect the stock to drop further. Observe the 38.2% Fibonacci retracement as this might provide support to the stock for another upward movement. RSI is very much overbought, expect a possible short bounce when RSI reaches 50 to 60 level.

StockWatch (June 15-18, 2010): PSEi, PNB, NRCP

PSEi (Chart: Daily Resistance: 3372 Support: 3211)

The index moved lower for this week with a big gap down on the first trading day of the week. It seems that bulls are unable to propel the index beyond the previous high. On the last trading day for the week we see the index trying to move higher, but the bears are still fighting and we are left again with a stalemate position with the opening value near the closing value, but with a bias for the bears as the closing value is lower.

For the coming week, expect the index to move sideways and probably would recover by the end of the week. Still observe the resistance line from June 2008 and support at the 65 day MA level (3211).

PNB (Chart: Daily Resistance: 30.50 Support: 28.50)

PNB is exhibiting a symmetrical triangle formation. The stock is near the apex, so we might be seeing either an upward or downward breakout for this stock. Upward target price is 40 while downward target price is below 20. Watch out for a possible breakout or break down of the formation.

NRCP (Chart: Daily Resistance: 1.72 Support: 1.54)

NRCP brokeout of a symmetrical triangle with an upward target price of 1.75. Target price is already near so expect resistance on the 1.75 level. This stock however, has the potential of moving further up as the MACD is widely opening upward and above the centerline.