Mining Stocks Very Bullish, as PX, LC, MA, NIKL Creates New Highs

PX has now broken out from what appears to be a pennant formation at 18.00, and now looks on course to retest the 20.00 key resistance level. Also, rumor has it that there will be a special block sale to be transacted at 21.60, so if there is indeed truth to this, they need to push the price of PX to within 5% of 21.60, before the special block sale can be done.

If you don't already have PX, a nice entry point should be any price near 18.00. However, if the train continues to steam ahead, don't try to chase the train. Trading stop for PX should be below 17.30.

LC and MA have both registered new highs, with LC closing at 0.69, and MA at 0.041. Sky seems to be the limit for these two issues, as little resistance are being offered at these new highs. However, the same cannot be said for LCB, which according to the rumor mill, is about to be declassified, and to be merged with LCB, which could explain its 2.6% drop and close at 0.75.

NIKL has alro broken out from a rounding bottom area pattern resistance of 23.00, and also establiehed a new all time high of 23.70, and close at 23.55. When one measures the breadth of the area pattern, price target for NIKL looks to be at 27.00, within a three-month time frame.

This is a steady stock, so don't rush to get in if you were unable to buy on breakout. Wait for a price pull back, and try to get in as near as 23.00, with 22.00 the stop limit for this trade.

However, as can be seen on the weekly chart of the PSE's Mining and Oil index, this sector continues with its meteoric rise since early 2009 as rising commodities prices, particularly gold and oil, makes for a very bullish market for all the miners and oilers out there.

However, this sector is about to reach the resistance line of the bullish trend channel, so some caution should be in one's thought, if ever one's going long in this sector.

Pinoy Stock Trader

NIKL - Nickel Asia Corporation IPO Opens Strong, Before the Foreigns "Tsupita"

Nickel Asia Corporation debuted earlier today its stocks on the Philippine Stock Exchange. Its opening price was at 19 pesos per share, and going as high as 19.40, before losing momentum to eventually close at 16.50 pesos per share.

While NIKL performed better in its debut agains Cebu Pacific's (CEB) IPO a few weeks back, NIKL's IPO was very volatile, moving within a 20% range in the morning trade. Usually on IPOs, it is the foreign investors who have the "strong" hands, with locals the one selling upon opening to make a quick buck. But this time, it is the foreign investors that are taking advantage of the IPO euphoria, selling down on any bids made by the local investors.

Still, it will be interesting to know what will happen on tomorrow's session, as this could also offer insights on the potential move of IP-Converge's IPO next month. Stay tuned guys.

PSE Rumor Mill: Nickel Asia’s (NIKL) IPO is Now Doing at 16 Pesos Per Share, Over the Counter

*EDIT* Price is now doing 17.50 OTC!

Apparently, there is a very strong demand for Nickel Asia’s IPO that brokers are now looking to buy NIKL shares at 16.00 Pesos per share, over the counter.

We are also actually looking to buy NIKL shares at 16.00 per share, any amount will do, but preferably 10,000 shares and up. So if you have NIKL shares allocated to you, and would want to sell it for an instant 1 peso profit per share, you can contact me hehe.

Nickel Asia IPO Priced at 15 Pesos, Sign of Low Demand?

It was just recently that the price for Nickel Asia Corporation’s (NIKL) IPO, or Initial Public Offering, in the Philippine Stock Exchange, was set at 15.00 Pesos per share. Initially, the offer price range was pegged between 14.95 to 23.00 Pesos per share. With the final offer price being set at the lower range, does this mean there’s little demand?

NIKL - Nickel Asia Corporation IPO

At a glance:

Offer Price Range: 14.95 - 23.00 Pesos per share

Tentative Listing Date: November 22, 2010

Offer Period: November 9 to 15, 2010

Now, after the crash-landing of Cebu Pacific’s (CEB) IPO, now closing even lower below its IPO price, investors are now starting to doubt the success of Nickel Asia Corporation’s IPO. But what really are in store for us, the traders and investors?