Picks of the Week [June 6-June 10]

Last week, my sole pick was PX for the continuation of the mining play and for the PPC dividend, a way of listing by introduction of Philex Petroleum.  I did buy PX on the first 2 days of the week, doubling my position in the process.    PX prices was volatile as it reached a low of 20 to a high of 21.75.  Closing price was at 20.45, a bit lower than my average cost at 20.58.  21.75 can be set as a Resistance for now, and I aim to unload some shares near that price.

As the PSEi only shows a sideways trend, with current prices seem to be correcting, I am looking to sell most of my current holdings.  Selling at strength, to protect and to realize profits.  If ever the index breaks that range resistance, then I'm definitely putting up all of my other cash into BDO's Equity fund. :D

On the weekly charts, AT seems to be this week's top pick due to the BUY signal generated from its MACD oscillator.  Its immediate RST at 18.2 may be hurdled upon for a breakout.  Not to be outdone by the mining trio, PX/LC/MA which had gained a lot these past few weeks,  AT has a story of its own in the name of the Berong Nickel mines.

March 2011 Performance

I am now going back closely to my previous high with regard to the amount of my equities.  Starting around November, Philippine stocks buckled away from its bullish trend as it underwent consolidation.  I even added up on my capital at the start of the year, which in hindsight was not good timing since prices continued to go down.

Mutual fund companies posts an average of around -3% YTD gain.  Based on my COL account, my YTD gain is -0.66%, already quite close to break-even.  If I am able to maintain this rate, dividend income coming in this April would be able to lead me out of the negative region.  This is definitely a relief for me since I have experienced reaching higher losses up to more than 10% during the first 2 months.

As per month-to-month performances, cash earnings went up by 1.23% while my total equity portfolio improved by 2.62%.  Below are the list of current stocks that I have:

Core:  (Long term investment based on growth potentials and that are heavily traded)
AP
EDC - after consolidating for many months.  It seems 2nd quarter would be EDC's time to shine.

Value: (Usually less liquid stocks but has growth potentials or is extremely undervalued)
AMC
FDC - I plan to accumulate more at 4.2 levels.  The firm would at one point, need to jack up its stock prices before its SRO.  They need to increase their float before November 2011, or else tax incentives as a listed company would be forfeited.  There are also plans for East West banks IPO this year.

Speculative:
PCOR - Bought this due to current prices of oil being high.  Unfortunately bought at a high, and I'm still not sure if it was the right thing to do during the time.  PCOR is more on oil distribution.  Could've explored more into oil drilling business instead (i.e. PERC)
PX - Bought this due to rumors on the PX and MA deals.  PX was relatively less risky as compared to MA, although I think MA should benefit more from the deal.  Latest news reveal that if ever the deal would push through, PX would get 60% while MA would get 40% on their deal on MA's mining rights.  Capital expenses would be provided by PX though.

Swing:
AGI - Trading at a range from 11.3 to 12.  I'll take advantage of it in order to lessen my losses.

Mining Play

I did this before with ORE and was quite successful with it.  Lately, MA has been enjoying substantial increase on its prices due to the news that PX has been interested on one of its mines.  I am tempted to get some MA shares because of this, but as soon as PX had a mysterious drop yesterday, PX seemed like a bargain for me.

I was able to buy near the low at 14.3, with ATR being a major seller this morning.  Despite the positive news on the earnings of PX and the nearing ex-dividend this March, major brokers (foreign) went out and shifted towards AEV.  The MCPI has reportedly adjusted the weights of involved stocks, and AEV greatly benefitted from it.  Meanwhile, ICT and PX bore the decrease in prices due to the lessening of their weights.

I used my "sideline" money in buying PX and some of PCOR (oil play).  I've got to replace this ASAP.  Possible sources would be from AGI (good thing prices went up for a gain) and DMC (slightly negative).