SMB – Breakout From Ascending Triangle Imminent?

SMB looks to be poising for another bullish runup, as it tries to take out the key 32.00 ascending triangle resistance. After consolidating within a volatile range of 20 and 32 for at least one month, SMB has finally made a bullish move to break free from this consolidation.

With the PSEi down by at least 2%, SMB managed to gain an impressive 8.4%, to close at 31.45, after retesting the 32.00 key resistance line. It would be interesting to know if SMB will breakout from the triangle, and continue consolidating within the range. If SMB manages to breakout from this level, technical target is at 46.00 level, within a one-month holding period.

As always, with every trades, always put stops. And in this case, the stop level should be placed below the 28.00 support level.

Pinoy Stock Trader

San Miguel Party Resumes

On a lethargic market session earlier today, San Miguel-related stocks once again took center stage, as SMC, PCOR, and SMB all posted significant gains with 5.5%, 6.1%, and 2.8% respectively.

SMC finally resumed its bullish momentum, after dipping near its breakout point at 125.00, proving that conservative breakout traders, those that buys when price dips near the breakout point chronicled on this post, can also have fun and join the ride.

PCOR on the other hand, looks to have broken out from what appears to be a pennant formation, with a potential price target of 18.50, based on the pole established during the last part of November. PCOR also looks to finally overcome the 13.00 level, which has eluded its price action last December 1. Stops could be placed around the 11.00 levels, in the event that our expected price action failed to materialize.

Meanwhile, SMB continues to trade very volatile, but still managed to close at 29.50, possibly moving sympathetically with SMC and PCOR.

Tomorrow, lets find out if San Miguel can outdo its bullish party hosted during the latter part of November.

Pinoy Stock Trader

Random PSE Musings - Is the San Miguel Party Over?

For the first time in 10 trading sessions, SMB finally went red, closing at 25.00 pesos, or down by -7.6%. While this is not totally unexpected, the actual decline came to be a surprise, as SMB went as high as 31.90, before turning about face, and crashing down. With its very volatile move earlier today, at least SMB has established an immediate support level at 22.50, and could consolidate between this level and 31.90 for the time being.

Still, the next few sessions will be crucial, as we still have to know if the 22.50 support level can be held. If not, then expect another bloodbath for this issue, and can go as low as 18.00 as its next target.

While PCOR managed to hold on to its gains and close at 10.10, it still is a far cry from its day high at 11.80, also burning a lot of investors in the process. LIB even joined the party early on, but this also closed far from its daily trading high.

Now, rumors has it that SMC, the parent company, is planning to offer secondary shares to the investing public next year, offering SMC shares between 150-200, which could probably explain why SMC-related stocks are moving northwards simultaneously. Well, it is up to you if you want to join the San Miguel party, or just look away, thinking that the party is over. 

San Miguel Brewery (SMB) - Continues to Defy Gravity, Closes at 27.05

For the 9^th straight trading session, San Miguel Brewery continued to establish long white candles, to form a very steep pole! Many are certainly saying that SMB must at least correct and consolidate, before moving upwards, but still, there are no signs that this stock is going to slow.

But if people are clamoring for a correction, it did correct earlier to 18 pesos, before assaulting a high of 28.30. And folks, that move to 18.00 may be the only correction we will have hehe. No, just kidding. :D

People have been asking me for several days already whether to buy SMB, and all those time, I said no. Now, they may be wanting to kill me for saying no haha. Seriously speaking, buying SMB at this point is very fool hardly, and with an RSI of 98.64, this is absolutely cannot be sustained.

While SMB still has strong momentum left to carry it higher in tomorrow’s trading, it is bound to fall anytime soon, so just observe from the sidelines for now, and ask for balato na lang  to those who profited from SMB hehe. And if you are one of the lucky ones that have SMB, balato naman jan hahaha!

San Miguel Brewery (SMB) – Continues to Spike at 14.00, But Can This Be Maintained?

From 9.50, SMB, or San Miguel Brewery has continued to rocket and close at 14.00, in a span of 5 trading sessions! Now, lucky holders of this stock should now consider locking in profits on tomorrows trading session, preferably on the early part of the session, as this price spike cannot be sustained for an extended period of time.

Now, what should investors and traders do next? Well, you can wait for price to correct a bit and stabilize a bit. With this kind of price action, this has a potential to form a flag formation, with the spike serving as the pole. Now, if a flag or pennant formation does indeed happen, one can buy on breakout from the area pattern formed.

Until then, I will monitor further price developments from this stock, and will update you guys. Stay tuned.