JGS Data and Technical Analysis: Buy on Pullback or Breakout?

JGS Data and Technical Analysis: Buy on Pullback or Breakout?

JG Summit Holdings, Inc. (JGS) closed at 75.10 per share, up by P0.81 percent, as of closing on September 25, 2019. The total turnover value reached P140 million.

Foreign investors were the major traders of JGS. Net Foreign Buying closed at P104 million. I would say that foreign investors remain neutral on JGS year-to-date.

JG Summit Holdings, Inc. (JGS) - Daily Chart EOD - 9.25.2019

Remember that JGS closed February and March this year in a combined Net Foreign Selling worth P190 million.

They have been able to zero out that NFS this August and September month-to-date as they’ve registered a combined Net Foreign Buying worth P190 million also.

Well, technically speaking, foreign investors are net buyers year-to-date but only with a more or less P40 million worth of an NFB.

That’s an insignificant amount of foreign investors’ money for an index company like JGS. It is for this reason that I have said that it’s more or a neutral foreign investors’ stance on JGS year-to-date.

Foreign investors still have one quarter this year to show their final stance on JGS.

My 10SMACD combo is still invalid. The most recent validation happened last August 20, 2019. So if you were monitoring JGS during that day, if you had buying power, if you were happy with your reward-to-risk ratio at that moment, you would have done a test-buy on that day. But, of course, you would only do that if you knew what this 10SMACD combo is about. Who knew what this 10SMACD combo is about? Only the subscribers of Equilyst Analytics, Inc. and those who attended my Evergreen Strategy in Trading and Investing in the Philippine Stock Market seminar knew what this is all about.

Support is at 69.60 while the resistance is at 79.15. If you’re going to compute for your reward-to-risk ratio right now, it seems you’re going to have a 1:1 ratio. The last price is more or less at the mid-point of the support and resistance levels.

The risk level of JGS is low. I suggest to newbie traders and investors to start with low- to moderate-risk stocks. That doesn’t mean you should buy every single stock with a low to moderate risk level, however. Use this risk level as a parameter to filter your selection only. My risk level indicator is not a buy-signal. Let me just tell you more about this during the Evergreen Strategy seminar. I’ll have one this September 28, 2019 in Makati. Click here to register.

Trade-Volume Distribution

Last Price: 75.10
VWAP: 74.88541412
Most Traded: 74.45 – 74.9
Most Voluminous: 74.9 – 75.1

JG Summit Holdings, Inc. (JGS) - Trade Volume Distribution - 9.25.2019

True Market Sentiment

True Market Sentiment of as of Sep-26-2019 at 03:30PM, with a last price of 75.100.
6 of the top 10 brokers registered a positive Net Amount
5 of the top 10 brokers registered a higher Buying Average than Selling Average
True Market Sentiment: NEUTRAL
Top 10 Players’ Buying Average: 158.7934
Top 10 Players’ Selling Average: 158.7919
Bonus Info:
29 out of 57 participants or 50.88% of all participants registered a 100% BUYING activity
4 out of 57 participants or 7.02% of all participants registered a 100% SELLING activity

JG Summit Holdings, Inc. (JGS) - True Market Sentiment - 9.25.2019


If you have JGS..

Assuming your trailing stop loss has not been yet and if you’re contemplating if you should top up or not, I suggest that you postpone that plan. Hold your position for now. Wait for the 10SMACD combo to become valid again. The neutral true market sentiment is a data-driven clue that even the majority of the top 10 brokers are not sure if they would want to push the price toward the resistance at 79.15 as far as today’s data is concerned.

If you don’t have JGS…

If you’re planning to enter a new position on JGS on Thursday, I suggest that you wait for the 10SMACD combo to be revalidated also. Besides, I don’t think you’ll be satisfied with your reward-to-risk ratio right now because the last price is already somewhat in the middle of the support and resistance level already. What you need to get is a bigger potential reward than your potential risk.

Regardless whether you already have JGS or you’re yet to have it, I strongly advise that you post a request for our latest analysis of JGS in the Private Clients Forum whenever you need one. This way, the analysts whom I’ve personally trained can tell you if sentiments have changed in favor of the bulls already.

Jaycee De Guzman

Do you have a comment?

This site uses Akismet to reduce spam. Learn how your comment data is processed.