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Showing posts from September, 2010

Virtue... Patience is.

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The PSE Index has been courting the 4000 level for a week now. And it looks like confidence is still high to drive the market up. Citiseconline predicted the market to reach 5k by year end. The major market movers this week are among the Mining and Oil sector with Lepanto Mining A and B shares leading the rally at around 70% gain week-on-week. The properties sector is now lagging the bull run with investors diverting interests into mining. Yet I couldn't get my hands off a few of my favorites. My Portfolio I 'm still tightening my grip at MEGW1. Hopefully I'm liquid if it ever goes down a few more notches. Nuff said. I loaded up on VLL partly on speculation that it will go up significantly at the advent of the cash dividend ex-date. Apparently, it didn't move much as expected. And lastly there's FLI. Last sold at 1.43, now bought at 1.39. I haven't really realized that I'm all Properties this week. Maybe because I am leaning towards the fundamentals th

Doubling money

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I have already talked about the power of compounding interest. The subject matter is quite a bulky one if one should delve into the math behind. But making money is not about the theories. If it does, a lot of college graduates (including myself) should have started financial management earlier. The fact is, financial literacy may have been taught in school. In my case, it was cloaked in such subjects as Engineering Economics (I excelled in this one). But the impracticality of theories made it only accessible to the financially keen to which I did not belong. The power of compounding can be simplified to a famous approximation that quite resembles the exact equation. This is the Rule of 72. It was said to originate from a Mathematician friar Luca de Pacioli . But the idea might have predate his. The Rule of 72 goes something like this: For some money put in an investment vehicle with r annual interest rate, the money will double in 72 ÷ r years. No. of years to double money =

My Stocks: A month after

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Citiseconline (COL) has been down since Friday eve. System maintenance perhaps. For the mean time, here’s a snapshot of my portfolio from a money manager software I am using. My Portfolio AT I bought Atlas Consolidated (AT) mainly due to a tip from a technical friend. He noticed a cup and handle pattern which according to the technicians should precede a bullish trend. True enough, the issue has risen 9%, 5.6%, and 5.6% in the last 3 days. I was able to enter at 13.80. This was 2 days ago. Quite high already but I guess (and hope) it’s not yet too late. At the early hours of trading on Friday, it seemed the issue has lost momentum and even dipped quite considerably to 13.80. But aggressive buying from some big shots at the closing hours drove AT to another winning high. This was probably the effect of the positive news of increasing demands of copper and minerals abroad. But I’ve noticed something irregular in the late trading that might be some investment strategy I’m no

Riding the bulls

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I was constantly amazed by our country's stock index. When the US and the European stocks are swinging wildly biased on the negative side mainly fed by their weak economic indicators, ours is bucking the popular sentiments abroad. We have just breached an all time-high yesterday and foreign brokerage firms talk about a massive (major major?) bull market. I already see the positive trend of the market a few months back while the Dow and Europe are bearish. The country's economy, the corporate earnings and the general market outlook add up to a bullish run. It's only sensible to be involved in the market. There's an old Chinese proverb that says "I hear I forget, I see I remember, I do I understand". I have been observing the market for months now. Scanned literatures. Hear from the the fundamentalists and technicians. In the end, it all barely registered in my feeble mind. Simply put, to understand the market, one has to be in the market. True enough, when I