Posts Tagged ‘OV’
Oriental Petroleum and Mineral Corporation (OPM) chart exhibiting volume spikes in the last few trading days.
Range trade or stay until it hits 0.030/sh?
MAB / LCB
Those who have been following the market are most probably aware of the gradual upsurge of MA/B and LC/B . I have been holding MA/B for a few months now; in fact, it’s one of my staple holdings, together with some other mining and oil stocks. It had been very lethargic, creeping in the downtrend for quite some time, which was most probably due to the previously ill-defined IRR of the mining policy. This new upward movement that we are seeing, on the other hand, may be due to the anticipation of the revised IRR of the new mining policy, which will be enforced beginning October 25. This, for one, is presumed to clarify a lot things with regard to the mining policy. A few details are discussed here and here.
I have provided the MAB chart below. Notice the three consecutive doji candlesticks beginning October 10. These doji candlesticks are significant in this particular series since they formed in a trend (downtrend). Doji candlesticks show indecision among traders and investors. If they appear in a trend, it could mean that a reversal is about to happen. I didn’t notice the doji until a friend pointed it out to me. On the other hand, what was more apparent to me was the surge in bid volumes. Bottom-line is: the chart shows a lot of optimism, as suggested by the bullish RSI, MACD, and ADX trends. Perhaps the next challenge here is for the price to puncture the Ichimoku cloud and takedown 0.062. Personally, I am not worried about whether or not this stock would rally in the short-term, I am convinced that this is fundamentally worth holding on to, especially IF our government would continue to encourage and support a well-regulated mining industry in the country.
With MA/B rising, it is safe to assume that LC/B is following the trend. On top of the seemingly positive reception of investors on the revised IRR, Lepanto Consolidated Mining is an affiliate of Manila Mining, with around 16.10% to total I/O shares.
You might also be interested in the lists of Top Buyers/Sellers of MA/B and LC/B on October 17, 2012.
Some interesting news published in the Manila Standard Today on the Galoc oil expansion. Personally, I would want to have some exposure on OV and/or OPM.
Mining and Oil
Such stocks can be highly volatile and subject to manipulation by stock promoters and pump and dump schemes. Such stocks present a high risk for investors, who are often lured by the hope of large and quick profits. – Wikipedia
$APM, $EG, $GREEN, $OPM, $AR — what do they have in common? They are penny stocks, which tsupiteros just love to manipulate (over other stocks). More often than not, they are very sporadically and thinly traded. That is exactly why once a movement is observed, like a sudden surge in buy/bid volume (especially that), most day traders get perturbed… and exhilarated, at the same time. Everybody wants to get himself positioned so as not to be left out. Why? Simply because it is one of the more obvious signs that a rally is about to transpire.
Below, I just quickly took snapshots of the charts of $APM, $EG, and $OV (different periods of rallies). Nope. I didn’t do any math nor statistical analyses. Sometimes, I just let the gut *think* & talk, if you know what I mean. Our brains are already wired to look for patterns anyway.
Most of the time the market will tell you what to do, all you have to do is know how to listen. – Anonymous
Speaking of penny stocks, I have been lucky with $EG (yes, I used the term luck). A bit of a history here. Another penny stock I’m interested in is $GREEN (for short-term trading). Aside from the surge in volume that we’ve been witnessing in the past trading days (ehem… see chart above… **clears throat**), I came across this news on its disclosure presented to the PSE:
Let me just highlight some parts I find appealing:
Under the agreement, Cleantech bought 20,776,856,000 primary shares of Greenergy for a total of P415,537,300.
Cleantech — a fund managed by ThomasLloyd Global Asset Management (Switzerland) AG of Zurich — was also issued two warrant certificates, covering 10,489,500,000 million shares each but with different prices of two and three centavos per share.
Lastly, to those who have been asking about $OPM and $OV: Yes, I’m also acquiring $OPM and I am “planning” to go “long” on this.
Still and all, I’m pretty sure that you will agree with me in saying that playing with penny stocks can be very dangerous, especially to newbies. It is also important to note that even seasoned traders are not spared from the jeopardy that penny stocks bring. I cannot overemphasize this enough: It is always beneficial to read more about your stock picks from certified official websites such as the PSE and/or those technical notes that your online broker provides you with. This is because, apparently, the manipulation can sometimes be very intricate to the point that “individuals or organizations buy millions of shares, then use newsletter websites, chat rooms, stock message boards, press releases, or e-mail blasts to drive up interest in the stock.” Imagine that.
Information is not knowledge. – Albert Einstein
Also, bear in mind that reward and risk — they always go hand in hand.
Risk comes from not knowing what you’re doing. – Warren Buffett
Likewise, don’t forget to always have your greed levels in check.
So, there! Anyway, like what my tagline says, I’m here for the thrill of it. Probably the same reason why I enjoy playing Baccarat with friends back home.
I guess that’s it for tonight. I still have some work stuff to do — also for the thrill of it. xo
Ghost month is the most dangerous time of the year, and malevolent spirits are on the look out to capture souls. (* To learn more about the ghost month click here.)
Traditionally, most Chinese, including the businessmen, believe that the ghost month is an unfortunate time to start and do business. It is believed that at the beginning of the guǐ yuè, the Gates of Hell are opened sanctioning the guǐ (ghosts) to transpierce the world of the living.
Who wants to “expose” herself to risks believing that the spook has been released to prey over potential victims? Definitely *not* the Chinese.
Thing is, whether we all believe this or not, we are still bound to be affected by guǐ yuè because, well, we are all players in one big market. So, do not be too surprised when transactions on your fave stocks have been thinning out. There is no need to panic though because they are not necessarily nosediving… they are just… boring. Also, it’s still summertime over there on the other side of the globe; our colleagues in the West are most probably still on vacation.
I reckon that this is the time we plan our strategies well and do some stock hunting.
Personally, I have been closely monitoring OV, OPM, and MA/B, to name a few.
P.S. Let’s go PSEi!
There has been a lot of good news fencing in on the Philippine market. The biggest perhaps is when Standard & Poor’s Ratings Services upgraded its ratings on the Philippines to BB plus, which is the highest since 2003. We have all been expecting this especially since the time Fitch Ratings upgraded our market to a step below investment grade in 2011. I am especially proud of this because it is symptomatic of an improved sense of optimism of investors toward our “fiscal flexibility and strong external position”. Expect more foreign inflows! Investment grade status? I firmly believe that it is not an “IF” question.. it is a matter of when. Hopefully, before PNoy ends his presidential term in 2016.
Another good news for our investors and, well, the Filipino people, is the signing of the Executive Order on mining policy changes. This is the one that we have ALL been waiting for!
The EO is expected to set guidelines that will harmonize conflicting interests of the mining industry, national and local governments and environmental groups. – Reports from Willard Cheng, ABS-CBN News; ANC
Details on the EO will be divulged on Monday. Meanwhile, let’s see how the EO would affect the performances of
our my favorite stocks MA, LC, and OV on Monday.
In other news, as of this writing, Oil Prices and Gold are in the red.
If the commodity futures will have more effect than the release of the EO on MA, LC, OV, and PX tomorrow, I would consider accumulating.