ASI Today - Billion Rupee T/O, but mediocre activity

More than 500M came from 2 block trades in Sampath and Softlogic Holdings. Central Finance had a lot of attention today with more than a million shares trading, bringing in 120M+ in T/O.

The rest of the Market did not make any surprises, with the Index closing lower by 2 points. Plantations did a slight come back, after a few days of side way movement.

The ASI is still around 6570 points, with a side way consolidation. Eventhough the overall market is hanging in the balance there are opportunities for the active well planned traders. Whilst there is value to pick for the Investors too.

ASI Today - 20.10.2017

Today's highlight was Chevron Lanka plc. This stock got hit so badly for many a month. Onslaught on the share was understandable, as their Market share and the Profits Dropped. Things got better in September. Their profits were better than the June quarter, and the dividend was slightly better than that of July. Investors rushed in to celebrate, and took it up to a slightly higher level. What closed yesterday at 112.70, closed at 118.50 today. Volume was also commendable.

There were many interesting stuff that happened in the Market besides Chevron, Sampath was traded for the last day before going XR on Monday. There were many collectors on that due to the arbitrage profit you could get. The busiest in the Plantation Co's was LDEV with more than 338k was changed hands.

T/O was lower at 568M. SL20 Stocks did not bring any surprises, hence it was business as usual.

ASI picked up thanks to Chevron increased by 17+ points. The 50% Fib ret of 6558 held, that is positive.
As shown in LLUB and VFIN, the market is positively responding to increased profits and growth in the quarterlies, which can keep the ASI busy in the coming weeks.

ASI Today - 19.10.2017

Turnover was over a Billion at 1070 M. That was significant as 725M were from the normal board, whilst 345M came from Crossings. JKH, NDB,SAMP and LLUB saw 553M worth of Turnover, making the bulk of the contribution. A special attention was given to TESS today with more than 7.5M shares trading among 412 trades. LLUB was the highest Traded with 500+ transactions, and 91M in T/O.

Overall the Market wasn't that active, but saw traders going about accumulating many Stocks in Plantations, Finance and Manufacturing sectors. Nothing out of the ordinary was witnessed except in TESS. Better watch that out as the volume traded was significant to ignore.

ASI has now come back to the 50% Fib retracement area that I plot at 6555 points. That is a critical support level. However it will be interesting to see whether it will hold above 61.8% fib ret at 6508 points.
There is no sign of a momentum build up yet in the ASI, which is closely watched.

  

ASI Today - 17.10.2017

Market looked big today with 3 big crossings. Largest being the sale of the controlling stake of EAST, which was 63.91% or 88,345,235 shares of the Company. This deal brought in a T/O of 1095.5 M Rupees. The next 2 being COMB and CCS, adding another 488.9 M Rupees. The rest of the market chipped in with a T/O of 308.8 M.

The ASI shed another 23.89 points. It has now shed 76 points from it's swing high of 6648 points. The ASI rested nicely on the 100 sma today. But may not be for long. However 100sma is an important worm to look at.

Traders still have room to get busy on plantations, and expected growth stories on a few other counters. We witnessed robust collection on those counters.

Needless to mention the stocks that have gathered in steam at present as I have shared them in my previous post captioned " Stocks that are gathering momentum", will reward you, if you are bold enough to dabble in them.

It is highly advisable to accumulate the counters that can show growth, which are in plenty these days. Particularly when the market is in a pullback. That will be the only time you could do so.

The CSE will be on holiday tomorrow O/A Deepavali Festival.

Stocks that are gathering in momentum

Following stocks appears to be gathering momentum

CFVF - there is a strong support base forming between 38.50 and 39.00. If you have it keep an eye on. If you want to enter, try at the lower end of the channel i.e. 38.50.

RICH - A considerable volume traded at 14.00, as such the support now is between 13.50 and 14.00, but more biased towards 14.00.

SAMP - 340 has a good short term support, and the next support is around 338.50. The trend would resume it's ascent once the support is made very strong.

MBSL - Fair volume traded today mainly above 15.00. Presently the price is trying to breakout over 15.40, and with the present momentum build up we will see newer highs in the short term.

LDEV - strong accumulation at 13.50 and 13.60. Once the consolidation is complete this could test new highs.

MAL - 11.50 to 11.70 is where the support is. Accumulation will have to be at this range. Trend will continue once the accumulation is over.

MHDL - 2.12 million shares traded between 11 and 13.90 a few days ago. this has helped the stock to trade at the upper range of this channel. No signs of a trend continuation yet. Watch to collect low or wait for a higher close.

ASI Today - 16.10.2017

ASI took a breather. As I expected the Banking index pulled Back. That was nothing extra-ordinary. All 3 big banks rallied non-stop, hence a cooling off. With the Banks pulling back the momentum of the Plantation Companies saw another day of consolidation. This sector too needed this break. My charts tell me that this is a healthy development.(Remember your chart is yours, and mine's mine. Better get that Straight)
T/O as well as Trades decreased. The most noticeable counters that ended positively were RICH and DIAL. Both had active trading. Expect the momentum to build up on RICH in particular, whilst DIAL needs to be seen.

Amidst the pullback Counters that were actively traded in the Banking and Plantation Sectors, will get busy once again. Simply because of positive quarterly results. Don't ignore and be upset when they are falling. Keep collecting, as the Short Term returns look promising for them.

Banks, Finance and Insurance Index - heading towards its' all time highs of 19913 points

BFI index represents a good portion of the market in terms of the Market Capitalization. As such its' progress is very crucial for the ASI. As I have been pointing out, the BFI surpassed the highs of the 2010/2011 period and hit an all time high of 19913 points during August 2015, just after the General Elections. Thus re-rating the momentum of the sector. However it retraced to the supports of 2012/2013 periods and consolidated within 14000 points and 16700 points for a period of 15 months.

This has now found its' momentum build up, and forming a strong support at 16000 points. At present it needs to form a strong base between 16000 and 17850 points before a breakout and trending up to test the present all time high of 19913 points. Expect a pause in the index during the early part of next week and progress towards a trend extension thereafter.