Congratulations to TradingHubPH for being this week’s Featured Trader!
TradingHubPH has been one of our loyal members in the Investagrams community since 2016, just a year after Investagrams’ debut. Ever since then, he continued to provide insights and value to community members to help create successful trades.
Recently, TradingHubPH spotted breakout plays during this turbulent market in the PSEI and one of them was eyed on PSE:MARC. Marcventures Holdings, Inc. (PSE:MARC), engages in both mining and oil exploration, with both markets currently rising globally.
TradingHubPH shared his analysis on PSE:MARC when it broke out from its Darvax Box ranging from 1.40 to 1.55 levels, closing at 1.58 with impressive volume. From a technical standpoint, a breakout from its consolidation at its highs followed by large volume is a good indicator for strength. PSE:MARC hit 1.80 a few trading days later which was the set take-profit level for TradingHubPH.
TECHNICAL STANDPOINT
After a strong breakout from its Darvas Box and Trend Resistance (refer to photo above), traders took profits causing the price to retest the resistance area. However, it is clear that the resistance shows strength as it was unable to break below it, creating a strong recovery by 7% the next trading day as it closed at 1.64.
Plan Your Entries – NEVER BUY ON FOMO!
Based on the chart above, PSE:MARC respects the MA20 trendline. To maximize your profit window and minimize downside risk, we recommend traders to wait for a pullback and buy on the area of value–MA20. For traders who prefer buying on strength, wait for the price to break its 52wk high at 1.80 or its 2nd resistance around 1.97 – 2.00 areas with large volume.
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FUNDAMENTAL STANDPOINT
PSE:MARC recorded a net income of Php 956 million for its Q3 earnings in 2021, a 3,628% increase from the previous quarter, with its Q4 earnings yet to be disclosed. On top of that, both oil and nickel prices have been soaring due to supply shortages happening globally as economies start to pick up.
Oil Market
Global oil prices have been soaring since the start of 2022, currently priced at its highest it has been since 2014. The tight oil supply is also further heightened by the growing tensions between Russia and Ukraine, with Russia being one of the largest oil producers in the world.
Nickel Market
Nickel inventories have been near its record lows, causing prices to surge since January. The demand for Nickel is also increasing as it is used for stainless steel and batteries for electric vehicles, a fast growing industry.
Once again, KUDOS to TradingHubPH for being this week’s Featured Trader! Enjoy your 14-day InvestaPrime Access and continue to be an inspiration to the trading community.
