After hitting the support at 6,554 the market has not looked back yet! It’s currently up 12.5% and with volume breaking resistance after resistance! If I told you not to follow you emotions when the market was down, I am telling you right now also to avoid following your emotions when the market is up. If you follow your emotions,you might end up selling early and miss bigger moves in the market should it continue to go higher. I don’t want that to happen to you, I want you to be profitable in the market and that you can use the market to help you reach your goals of financial freedom.
Everything that will be discussed here is from the point of technical analysis. Which I believe is one of the best ways to time and the market and to trade the market. Everything else is just guessing or pure speculation. I encourage you if you want to trade the market you better learn to use technicals so you get to trade by your own analysis without listening to rumors or your friend’s opinion. You have to be profitable in your own terms!
Catch me in my live training events! (quick plug)
Here are the first events for the year! I will give you an update on our live sessions on UAE, Qatar, Iloilo and Singapore in the next few weeks! The heart of why I do this seminars is I want to build a generation of Filipinos with the right foundation in stock investing. I want to bring smart investing to every Filipino around the world! This is my passion and this is what I want to do over and over! To bring more consumers to investors! We will be teaching different techniques from how to select the right stocks up to how to find the perfect timing in buying and selling stocks.
Stock Smarts CDO — February 4- 5, 2017
Stock Smarts Cebu — February 17- 18, 2017
Stock Smarts Manila — March 4 – April 1, 2017
Stock Smarts Japan — March 18 – March 20, 2017
Stock Smarts Davao — April 8 – April 9, 2017
What could happen next?
As the market just kept breaking resistance upon resistance what we are is currently seeing is the market running the course of its breakout. As the breakout progresses we may see it try to challenge the strongest resistance at the moment which is at 7,447.
Given that 7,447 is the strongest resistance that we now have, as we try to approach that level a certain amount of selling pressure may surface which may cause the stock to correct a bit. Should that happen a possibility of a correction to 6,988 – 7,077 may be possible.
However on a more optimistic note, should the PSEI break past 7,447 with strong volume we are now seeing the market fully reverse and finally move from bearish to bullish. With that, the market can now fully reverse and allow itself to trend even higher.
Should the market fail or struggle to go higher than 7,447, as it tries to approach that level, you may consider to take profits and try to buy back again from the bounce at 6,988 – 7,077. However should it breakout from 7,447, hold your positions first and adjust your target price to 7,728 to 7,764 as that is where the next resistance is pegged.
If the market stays above 7,447 and a reversal to a more bullish sentiment is evident, use this opportunity to buy more and add to your position. Ride the market out as it progresses into a new uptrend. Again this is all contingent that the market breaks out and stays above 7,447.
To those who attended our Stock Smarts sessions, I hope that the drop in the market not only caused you to learn and build your craft more but it also positioned you for times like this where you can actually see and feel the growth of your portfolio as the market is bouncing and trending higher. God bless you and may this year be your best trading year yet. I really believe that Filipinos will be the greatest traders and investors in the world.
We have only just begun! Trade Well! Trade Strong! Trade Smart!
This is aimed to help investors have a holistic sense on how they can grow, maximize, and preserve their wealth!(Stock Smarts Book 4 is also coming this year) I also feature other books in my website with authors that I respect which have different expertise in Finance, Business, Investing and everything else in between.
For more details and to order: Marvin Germo Book Orders
*Pictures via google search