ISM Technical Analysis: Is It Best to Wait Near ₱4.50 or Buy Now?

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ISM Communications Corporation (PSE:ISM) is priced at ₱4.86 per share, up by 1.46 percent, as of 03:30 PM GMT+8 on October 22, 2019.

The Total Turnover Value is at ₱16,226,590.00. The local traders are the main drivers of ISM today.

ISM Communication Corporation (ISM) - Daily Chart EOD - 10.22.2019

Foreign investors registered a Net Foreign Selling worth ₱185,790.00. They are net buyers year-to-date.

The immediate support is near ₱4.50, while the immediate resistance is near ₱5.57.

My 10SMACD combo is bearish.

ISM’s risk level is low due to its historical volatility score of 24.26 percent. For new traders, I advise that you prioritize checking those stocks that have a low to moderate risk level.

Trade-Volume Distribution Analysis

Last Price: 4.86
VWAP: 4.846652
Most Traded: 4.8 – 4.87
Most Voluminous: 4.8 – 4.87

The Momentum Power Indicator of ISM is bearish because only 3 of 4 elements are bullish. The downward movement of the price is more than likely to continue as of the time of writing this analysis.

ISM Communication Corporation (ISM) - Trade Volume Distribution EOD - 10.22.2019

True Market Sentiment Analysis

True Market Sentiment on ISM as of Oct-22-2019 at 03:30PM, with a last price of 4.8600.
True Market Sentiment: NEUTRAL
6 of the top 10 brokers registered a positive Net Amount
3 of the top 10 brokers registered a higher Buying Average than Selling Average
Top 10 Players’ Buying Average: 4.8465
Top 10 Players’ Selling Average: 4.8512
Bonus Info:
8 out of 31 participants or 25.81% of all participants registered a 100% BUYING activity
12 out of 31 participants or 38.71% of all participants registered a 100% SELLING activity

ISM Communication Corporation (ISM) - True Market Sentiment EOD - 10.22.2019

The majority of the top 10 brokers are neutral on ISM.

As far as my Evergreen Strategy is concerned, it’s a confirmed buy signal if the 10SMACD and the Momentum Power Indicator are both bullish. The opposite is true if the 10SMACD and Momentum Power Indicator are both bearish.

Have you already watched the video-on-demand version of my Evergreen Strategy in Trading and Investing in the Philippine Stock Market? I discussed in that video how I find the best candidate stocks for your watchlist, how to know the true market sentiment, how to know if the trend is more than likely to continue, how to find confirmed buy signals, how to find the best price range where I buy, and how I sell more logically and less emotionally. After watching the video, you will know how to analyze exactly how I analyze. Click here for more information.

Recommendations

If you still have ISM because your trailing stop is still intact, it’s best to hold your position for now. Do not top up until the 10SMACD and Momentum Power Indicator become bullish. Make sure that you do an upward adjustment on your trailing stop every time the price registers a higher prevailing price.

If you are planning to enter a new position on this stock, I suggest that you wait until our 10SMA-MACD and Momentum Power Indicator are both bullish. When that happens, you may calculate your reward-to-risk ratio. You can use my Reward-to-Risk Ratio Calculator. If you’re happy with that ratio, then, you can test-buy within the dominant range once the 10SMA-MACD and Momentum Power Indicator are bullish. Calculate your trailing stop immediately once the stock enters your portfolio.

Regardless whether you already have a position on this stock or you’re yet to enter a new position, it’s best that you ask for our latest analysis and recommendation in our Private Clients Forum so we can tell you if the technical buy indicators are still intact. Also, this allows us to alert of you the newest dominant range of the stock so you can buy strategically. If you’re a subscriber of Equilyst Analytics, you have an access to our Private Clients Forum.

Jaycee De Guzman

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