PPG Technical Analysis: Is It Strong Enough to Break ₱11.18?

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PHINMA Petroleum and Geothermal, Inc. (PSE:PPG) is priced at ₱10.76 per share, up by 2.28 percent, as of 03:30 PM GMT+8 on October 23, 2019.

The Total Turnover Value is at ₱12,637,988.00. The local traders are the main drivers of PPG today.

Foreign investors registered a Net Foreign Buying worth ₱873,156.00. They are net buyers year-to-date, but their participation is insignificant.

The immediate support is near ₱7.12, while the immediate resistance is near ₱11.18.

My 10SMA-MACD combo is bullish.

PPG’s risk level is high due to its historical volatility score of 95.91 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: 10.76
VWAP: 10.75116
Most Traded: 10.76 – 10.72
Most Voluminous: 10.76 – 10.72

The Momentum Power Indicator of PPG is bullish because all 4 of 4 elements are bullish. The upward movement of the price is more than likely to continue as of the time of writing this analysis.

True Market Sentiment Analysis – EOD

True Market Sentiment on PPG as of Oct-23-2019 at 03:30PM, with a last price of 10.7600.
True Market Sentiment: NEUTRAL
4 of the top 10 brokers registered a positive Net Amount
7 of the top 10 brokers registered a higher Buying Average than Selling Average
Top 10 Players’ Buying Average: 10.7430
Top 10 Players’ Selling Average: 10.7207
Bonus Info:
6 out of 29 participants or 20.69% of all participants registered a 100% BUYING activity
12 out of 29 participants or 41.38% of all participants registered a 100% SELLING activity

The majority of the top 10 brokers are neutral on PPG. To me, this means the majority of the top 10 brokers were waiting for the other brokers to initiate the next significant buying activity. In short, this neutral True Market Sentiment showed that they eavesdropped with each other today. Like me, they’re in a wait-and-see mode, too. Let me just emphasize that this was their sentiment for TODAY only. Take a look at their month-to-date sentiment below.

True Market Sentiment Analysis – MTD

True Market Sentiment on PPG from Oct-01-2019 to Oct-23-2019 at 03:30PM, with a last price of 10.76.
True Market Sentiment: BULLISH
6 of the top 10 brokers registered a positive Net Amount
8 of the top 10 brokers registered a higher Buying Average than Selling Average
Top 10 Players’ Buying Average: 10.0430
Top 10 Players’ Selling Average: 10.0208
Bonus Info:
2 out of 80 participants or 2.50% of all participants registered a 100% BUYING activity
17 out of 80 participants or 21.25% of all participants registered a 100% SELLING activity

PHINMA Petroleum and Geothermal (PPG) - True Market Sentiment MTD - 10.23.2019

The majority of the top 10 players of PPG are bullish. This is an additional point for the bulls.

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

Assuming your trailing stop is still intact and you’d like to top up, you have data-driven reasons to top up within the dominant range since the 10SMA-MACD and Momentum Power Indicator are both bullish. Please make sure that you do an upward adjustment on your trailing stop every time the price goes higher. You may use my Trailing Stop Calculator.

If you are planning to enter a new position on this stock, I suggest that you calculate your reward-to-risk ratio first. 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. Calculate your trailing stop immediately once the stock enters your portfolio.

However, since the current price is near the resistance of ₱11.18, it’s better for you to wait for a successful breakout before entering a new position. Nonetheless, if you are happy with your reward-to-risk ratio, as mentioned previously, you can do a test-buy within the dominant range.

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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