InvestaDaily

Which is Better?

Well, it depends. End-Of-Day trading (also known as EOD trading) benefits those who are mostly consumed by their 9am-5pm jobs and students who are in class the whole day. On the other hand, Intraday trading benefits those who have a lot of time to themselves or those who can access the market at any time during the day. Both approaches have their advantages and disadvantages. To identify which approach to use, you will need to do an objective personal assessment of your personality and circumstance.

Intraday Trading Advantages

1. You get to enter strong breakouts at a good price that don’t give any pullbacks.

After breaking out of its consolidation, $FOOD (Alliance Select Foods International, Inc.) never looked back. It went up 50% from the breakout point without giving any pullbacks. If you waited for EOD to execute your buy order, $FOOD would already be up 28% from the buy point which is already too extended. If, however, you bought this during the time it broke out within the day, you would’ve been able to ride the move.

2. You can cut a position early in the day to avoid a major breakdown.

If you bought $PXP (PXP Energy Corporation) on the 19 pesos breakout, your stop would most likely be placed on a break below 17. I’m pretty sure many of us remember what happened to $PXP at this time, despite all the positive news the stock continued to breakdown. If you waited for EOD to execute your stop loss, you would’ve incurred a -25% loss! By selling your position once your stop is hit intraday, you remove the risk of suffering a major breakdown. Also, receiving alerts from InvestaWatcher is also a good way to avoid a sudden sell-down that requires nimble hands to save your capital.

3. Tsupit plays (Quick profit trades)

Now if you have the time and experience, you may choose to participate in big intraday movements on lower timeframes. Take $PHA (Premiere Horizon Alliance Corporation), for example. If you used a lower timeframe, you could’ve traded several swings and yield a handsome profit. While if you missed the initial move, you could use lower timeframes to spot buying opportunities.

Intraday Trading Disadvantages

1. Fakeout. Fakeout. Fakeout.

However, intraday trading also has its disadvantages. If you buy a breakout without confirmation, especially in a bear or corrective market, you will be prone to experiencing multiple fake breakouts or “fakeouts.” If you bought $IS (Island Information & Technology, Inc.) when it broke out of its ascending triangle pattern, you would’ve gone through a frustrating fakeout. If you waited for EOD for breakout confirmation, you would’ve avoided this stock.

2. Shakeout. Shakeout. Shakeout.

Here’s the exact opposite of a fakeout, a shakeout. $VUL (Vulcan Industrial & Mining Corporation) was one of the leading stocks during the midst of last year’s bear market that yielded a handsome 280% gain in five months. $VUL created multiple continuation patterns to give those who missed out on the initial breakout an opportunity for entry. If you planned to buy $VUL at its 2 pesos support in the highlighted candle and had a stop at 1.85, you would’ve liquidated your position if you executed your stops intraday. If you didn’t have a buyback plan, you would’ve missed a 51%.

EOD Trading Advantages

1. You are given a confirmation before entering breakouts.

$ISM (ISM Communications Corporation) was also one of last year’s market leaders. The stock underwent a five-month consolidation before successfully breaking out. However, before the successful breakout, $ISM gave a fakeout. Those who bought during the fakeout may not have been able to buy back $ISM when it finally broke out successfully, leading to a missed 139% winner! However, if you waited for confirmation, you would’ve only purchased ISM when it broke out successfully.

2. You avoid prematurely executing your stop.

Now we are not suggesting, and we do not encourage waiting for EOD to execute on your stops especially if the price you’re supposed to liquidate is already hit. However, if your circumstance dictates, you cannot check the market until near the closing, then you avoid the risk of prematurely exiting your position that dipped intraday. If you bought $PXP at its 8 pesos support and had a stop at 7.50, you would have stuck with your position since it recovered EOD. Then in a few short weeks, $PXP skyrocketed and made a 137% return in only five days.

3. You don’t have to stare at a screen the whole day.

By doing EOD trading, you’re are given the ability to focus on other things besides the market. If you’re working at a company, you can focus on your tasks and attend meetings without needing to check the markets. If you’re a student, you can pay attention to your classes. BUT that doesn’t mean you can’t execute your trades a little earlier. With alerts from InvestaWatcher, you can discretely execute your trades whether you’re busy at work or school.

EOD Trading Disadvantages

1. You miss out on a BIG move that transpires intraday.

This is one of the biggest disadvantages of trading EOD, missing out on an explosive move since the stock is already too extended from the ideal buy point. $GREEN (Greenergy Holdings Incorporated) was one of the market leaders early this 2019, if you waited for EOD to wait for confirmation of the move, you would’ve missed out on a 32% move in one day.

2. You’re prone to a sudden breakdown in price.

$PIP (Pepsi-Cola Products Philippines, Inc.) broke down out of its five-month consolidation after a bad earnings report which caused heavy selling. If you waited for EOD to sell your position, or if you only check the market after 3 pm, you would’ve had to sell $PIP at a -14% loss. If you accumulated PIP during its consolidation as a position trade and waited for EOD to execute your stop, you would’ve experienced a -14% loss!

Final Thoughts

Choosing to execute either intraday of end-of-day is and has always been one of the hardest questions to answer, especially when you’re still starting out as a trader. To find out which approach is best, you will need to assess yourself as a person and your own circumstances. Both approaches have its advantages and disadvantages, it is up to you to figure out which one will benefit you as a trader!

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Learn how to trade your way to the top and be the next Champion of Investagrams Trading Cup 2019

We are back with the BIGGEST PRIZE POOL in Investa Trading Cup history with 1 MILLION PESOS base cash prize at stake on top of the bonus pot!

This competition is OPEN TO ALL and will run from
September 23, 2019 until December 20, 2019.

Registration

1. Anyone can join the competition! Experience trading in the Philippine Stock Market through Investagrams Trading Cup 2019.

2. You must have an Investagrams account. If you don’t have one yet, you can sign-up here for FREE.

3. The last day for registration is on September 20, 2019 (Friday). Secure your entry to the competition through this link, with a Prime (PHP 1999), Regular (PHP 999), or Student (PHP 499) Pass. Only one (1) entry and account per person is allowed.

4. Complete your payment through Credit/Debit Card, BPI Deposit/Transfer, BDO Deposit/Transfer, 7–Eleven (Coins.ph), M-Lhuillier, or Cebuana Lhuillier. You will be notified once your payment has been confirmed.

5. From your Transaction Invoice, or when you click on Trading Cup 2019 under the Virtual Trade tab in Investagrams, you will be led to an instructions page in order to validate your identity. If you haven’t uploaded your Proof of Identity yet, please do so, as this is a required step for all participants. Here are the Valid IDs that are accepted:

• For Prime and Regular Pass holders: Passport, Driver’s License, SSS, UMID Card, PRC ID, Voter’s ID, National ID, OFW ID, Postal ID (New)
• For Student Pass holders: Validated School ID AND Certificate/Proof of Enrolment

6. Once approved, you will receive a notification and your Proof of Identity under Account Settings will already be marked as Completed. Access to the following will also be granted to your account:

• For all competition pass holders (Regular, Prime, and Student): Competition Room and InvestaGroups
• For Student Pass holders: bonus student-starter modules in InvestaLearn

7. Read the official Rules and Mechanics here. All participants are expected to have read and understood the rules and mechanics of Investagrams Trading Cup 2019. These are published for your information and protection. Ignorance of these rules and mechanics is not an acceptable excuse for violation.

8. We will send you reminders and further details as we near the competition.

9. Please read the next steps here once you joined the competition: What Happens Once You Joined The Trading Cup 2019?

Competition Passes

There are three (3) types of competition passes:

1. PRIME PASS – PHP 1999

a. Entry to the competition

b. Exclusive access to webinars through InvestaGroups

• Inside the Minds of Stock Trading Champions and Multi-Million Fund Managers
• Understanding the Dynamics of Price Movement and Human Behavior
• Having a Risk-First Mentality
• How to Use Trading Tools to Your Advantage

c. Access to InvestaPrime+, a collection of powerful trading tools that will give you a competitive edge over other participants (3-month access equivalent to the duration of the competition):

• Screen the best stocks that suit your trading strategy
• Get real-time price and news alerts
• Improve your trading performance with pro-level analytics

d. Save 44% with the Prime Pass–compared to when you avail of InvestaPrime+ separately

e. 1 MILLION PESOS up for grabs in cash prizes plus a bonus pot (the bonus pot gets bigger as more participants join)

2. REGULAR PASS – PHP 999

a. Entry to the competition

b. Exclusive access to webinars through InvestaGroups

• Inside the Minds of Stock Trading Champions and Multi-Million Fund Managers
• Understanding the Dynamics of Price Movement and Human Behavior
• Having a Risk-First Mentality
• How to Use Trading Tools to Your Advantage

c. 1 MILLION PESOS up for grabs in cash prizes plus a bonus pot (the bonus pot gets bigger as more participants join)

3. STUDENT* PASS – PHP 499

a. Entry to the competition
b. Exclusive access to webinars through InvestaGroups
c. Bonus student-starter modules through InvestaLearn
d. Special incentives for the Top 10 Students on top of overall prizes

• Top 1: PHP 40,000
• Top 2: PHP 20,000
• Top 3: PHP 10,000
• Top 4 – 6: PHP 6,700 each
• Top 7 – 10: PHP 2,500 each

*For college students, high school students, and below only

Competition Timeline

1. Last day to register – September 20, 2019 (Friday)

2. Competition period – September 23 (Monday) to December 20 (Friday), 2019

3. Deliberation period – December 23, 2019 (Monday) to January 3, 2020 (Friday)

4. Official announcement and notification of winners – January 4 (Saturday) to 7 (Tuesday), 2020

5. Defense date – (to be announced)

• If you are part of the Top 10 winners, there will be a required defense where you will be asked to do a brief presentation about your stock picks, strategies, and insights from the competition. Winners shall also be awarded on this date.
• This is required but has no weight in determining the winners of the competition. The rankings are based purely on your trading performance while following the rules and mechanics. This is more of an avenue where we can get to know you personally before we give out the prizes.
• We prefer to meet you in person, but for Overseas Filipino Workers (OFWs) who cannot go to Metro Manila (we will confirm your address and situation) during the defense day, you may present through online video call/recording.

6. Last day to claim prizes – sixty (60) days from the Defense date

Prizes

After the deliberation period, the official Top 1 to 40 rankings will be announced as the winners of Investagrams Trading Cup 2019 through Investagrams’ Facebook page and platform. Winners will be notified through their e-mail address, contact number, and/or Facebook profile. Deadline for claiming of prizes is sixty (60) days after the Top 10 Defense date otherwise, the prize will be forfeited.

CHAMPION
PHP 360,000 Base Cash Prize
plus 40% of Bonus Pot
Investagrams Trading Cup Trophy
Champion Badge

2nd Place
PHP 180,000 Base Cash Prize
plus 20% of Bonus Pot

3rd Place
PHP 90,000 Base Cash Prize
plus 10% of Bonus Pot

4th-10th Place
PHP 18,000 Base Cash Prize each
plus 14% of Bonus Pot distributed evenly

11th-20th Place
PHP 7,200 Base Cash Prize each
plus 8% of Bonus Pot distributed evenly

21st-40th Place
PHP 3,600 Base Cash Prize each
plus 8% of Bonus Pot distributed evenly

Note: All prizes exceeding ten thousand pesos (PHP 10,000) shall be subject to twenty percent (20%) prize tax and shall be shouldered by the winner.

Refer a Friend

Get your referral link here and share it with your friends!

a. For ALL Investa Users

• Get PHP 50 in your InvestaWallet for every successful referral.

b. For ALL Trading Cup 2019 Participants

• Successfully refer at least 3 friends and you will get 1 month free InvestaPrime+ (worth PHP 599). This is capped at 1 month free only and will be granted after the registration period.
• Get a chance to win 1 year access to InvestaPrime+ (worth PHP 5,988). The more friends you refer, the more chances of winning. Be one of the 3 lucky winners who will be announced after the registration period.
• Get an equivalent 10% of your friend’s base cash prize winnings when they become part of the Top 10! This may be claimed up to sixty (60) days after the Top 10 Defense date.
  

  Will you be the next Champion?

Click here to join
Investagrams Trading Cup 2019!

The BIGGEST STOCK MARKET COMPETITION in the Philippines is here!

Welcome to Investagrams Trading Cup 2019!

We are back with the BIGGEST PRIZE POOL in Investa Trading Cup history with 1 MILLION PESOS base cash prize at stake on top of the bonus pot!

This competition is OPEN TO ALL and will run from
September 23, 2019 until December 20, 2019.

1. Registration. Participants may register until September 20, 2019 (Friday), before the competition officially begins on September 23 (Monday). Don’t worry, you will receive a notification once you have been automatically added to the Competition Room and the Trading Cup is about to begin.

Important note: Only one (1) entry and account per person is allowed.  If you have more than 1 account to join the competition, you will be disqualified.

Click here for more information on how to join.

2. Platform. The participants of Trading Cup 2019 will use the Virtual Trading Platform of Investagrams which tracks the real-time stock price movements in the Philippine Stock Exchange (PSE). The system automatically calculates transaction fees to make it more realistic.

To know more about Investa vTrade, click here.

You can access the platform through web, or download the app on Google Play or App Store.

3. Goal. The goal of the game is simple — trade your account for the whole competition period and aim for the highest profits. The players with the highest rankings while playing within the rules will be recognized as winners.

4. Starting Capital. Each player will start with PHP 100,000 virtual money to trade.

5. Trading Hours. Weekdays from 9:30AM to 12:00NN and from 1:30PM to 3:30PM— just like the regular trading hours in the PSE. You cannot trade during off-hours and on weekends. Also, no trading shall be done at the pre-close period of 3:15 to 3:20PM— the system will resume trading at 3:20:01PM.

6. Tradable Stocks. Participants can only trade the listed tradable stocks for this competition. The tradable stocks are filtered by our system and qualifies as liquid and actively traded stocks.

You will be able to access the whole stock list once you are added to the Competition Room.

7. Diversification. To promote diversification and risk management, maximum exposure in a single stock can only be 1/3 or 33.33% of the portfolio. This requires the participant to buy at least 3 different stocks should they want to fully invest their portfolio. The system won’t allow you to allocate more than 33.33% in a single stock.

8. Buying and Selling Conditions. Participants now have two options when transacting. The first option is to transact using the current price of the stock and use market orders to buy and sell specific stocks at their real-time prices. The second option, is to transact using our new LIMIT ORDERS. By using Limit Orders, you won’t need to watch the market the whole day in order to transact in the market. Take note, however, that Limit Orders do not apply for cutting your losses. There is NO automatic stop loss order, so you will need to cut your losses manually. Check out our guide here on our new Limit Orders and upgraded VTrade: Our New and Upgraded Investa vTrade: Limit Orders

• Buy – You can buy the same stock multiple times within a day.
• Sell – You can only sell the same stock two (2) times in a day. This will be strictly observed in order to avoid abuse. This includes selling in TRANCHES. Example: If you bought 1000 shares of $SMPH at 39 then sold 300 shares at 39.10, then you have only one (1) sell transaction left for $SMPH within the day.

9. Holding period for all stocks

• Initially the twenty (20) minute time lock was only for stocks PHP 3.00 and below. However, due to the illiquidity of the market and behavior of some participants we will now be applying the twenty (20) minute time lock for taking profits to ALL STOCKS. Again, this is to avoid widespread and rinse-repeat trades. There are instances where specific names are simply bought due to the 2-2.5% widespread sold after 5 minutes once the stock has been ticked up.
• There will be no timelock or restrictions when selling at a loss.

10. Fluctuation rule for taking profits. This is to further protect the competition against ‘rinse-and-repeat abuses’. For stocks that are PHP 2.99 and below + other illiquid names that may be added, you will not be able to sell your position at a profit for 24 hours unless the price is FIVE (5) fluctuations above your average price. For stocks that are PHP 3.00 and above, you will not be able to sell your position at a profit for 24 hours unless the price is THREE (3) fluctuations above your average price.

• 24-hour time lock. If in the scenario that your position still has not gone above the fluctuation rule for taking profits, you will only be able to sell it at any price 24 hours after your made your purchase.

11. For stocks that will be detected by our WIDE-SPREAD DETECTION SYSTEM (WSDS).

• The Wide-Spread Detection System’s main condition is that the first (1st) best bid and ask should never be more than 2% at any moment during open market session (9:30AM to 12:00NN | 1:30PM to 3:15PM | 3:20:01PM to 3:30PM).

Fig 1. Real-time Market Depth / Orderbook
showing the first (1st) best bid-ask data.

Example: $ATN (Refer to Fig. 1)

Given:

1st best bid = 1.11
1st best ask = 1.14

Formula:

X = (1st best ask – 1st best bid) / 1st best bid

Condition:

If X is greater than 2% then WSDS detects that the stock is wide-spread and can be abused.

Solution:

X = (1.14 – 1.11) / 1.11 = 0.02700 x 100% = 2.70%

Verdict:

Since X is greater than 2% then the stock is wide-spread as computed by the system.

• The participant will be given a prompt that the detected stock is not tradable upon executing a buy or sell transaction.
• The stock will again be tradable once the system detects that the spread of the 1st best bids/asks are below 2%.

12. Revision of Tradable Stocks. Investagrams has the right to remove any stock from the list should it suddenly become too illiquid, abusable and/or delisted. Furthermore, Investagrams may also add new stocks on the tradable list as new stocks become more active and tradable in the market. All changes will be announced before implementation.

In such cases that a stock is to be removed, we will follow this process:

1. Investagrams shall notify all the participants via the Investagrams Platform before the market opens.
2. If you still have the stock in your portfolio, you can sell it at any point in time at your discretion.

13. Trading Halt. Stocks that are on a trading halt will not be tradable. A halted stock will only become tradable again after two (2) minutes from its trading resumption. If you already have a ‘halted stock’ in your portfolio then you have the option to dispose of it early or hold onto it until it resumes.

14. Initial Public Offering (IPO). All upcoming IPOs that will happen while the Trading Cup is on-going will be added on its SECOND (2nd) trading day.

15. Shorting. Shorting is not allowed in this competition.

16. On Trading Abuses.

• Day trading opportunities on natural market moves are normal, but please take note that Investagrams will be on full-guard against participants that abuse illiquid opportunities. We want our winners to show real trading skills that are applicable in the PSE. Abuse of intraday spread trades will NOT BE TOLERATED. These rules are set to protect against the usual ‘rinse-and-repeat’ abuses that are mostly used in virtual trading competitions like this.
• Read more about ‘rinse-and-repeat trading abuse’ here and why this is not characteristic of a realistic trading strategy.
• Any player that has more than 10% of their profits from rinse-and-repeat wide spread, illiquid and other abusive trades will be penalized or DISQUALIFIED depending on the severity of their offenses. We will be able to validate this through our data and algorithms that verify the historical transactions of each participant.
• Any form of hacks, cheats, and abuses shall not be tolerated and will have corresponding repercussions. Suspicious behavior that may not be specified in the rules may also be flagged as ‘abusive’ trading behavior. Warning shall be sent after Investagrams has reviewed and confirmed that the actions are against the integrity of the competition. All trade records shall be verified and those who fail to follow the rules will be disqualified.
• Participants will only be given ONE (1) warning, any participant who has constantly repeated any abusive trading behaviors (whether illiquid stocks, system abuses, loophole abuses) will instantly be DISQUALIFIED. Investagrams has the right to review any suspicious activity, and if the behavior is deemed inconsistent with real life trading then the said player shall be disqualified.

• Questionable Transactions. Questionable transactions will be cross-checked through the buy and sell transaction time and the traded stock. Stocks that have more than 2% consistent gaps in the one (1) minute timeframe within the transaction period shall be deemed invalid and Investagrams has the right to deduct the profits from the said transactions. It is normal to trade natural intraday moves and gaps can really happen, but if a participant is constantly trading stocks that have gaps within one (1) minute timeframe and their profits from these kinds of scenarios make up more than 10% of their total profits, then he/she will be automatically disqualified.

Fig 2. Example 1 for one (1) minute time frame gaps with buy (green arrow) and sell (red arrow) transactions

Fig 3. Example 2 for one (1) min. time frame abusable 2% gaps

Fig 4. Example 3 for one (1) min. time frame abusable 2% gaps

Investagrams will warn the player that is proven to be constantly transacting with illiquid stocks with 2% one (1) minute gaps. Basically, any stock that has 2% spreads and do not really have a trend is included in this definition. After the first warning, any player that is proven to repeat this kind of behavior shall be disqualified.

17. Unexpected events. In the case of an unexpected event which interrupts the operations of PSE or the system of Investagrams, the competition shall be frozen and paused. Further notice shall be given and trading will resume once everything is back to normal.

18. Participant rankings. Overall participant rankings are constantly updated every ten (10) minutes and automatically ranked by Investagrams’ system according to net profit gain/loss. Traders ranking from Top 1 to 40 will be constantly checked.

19. Deliberation period and the announcement of winners. At the end of the competition, at least one (1) week deliberation period shall be given to Investagrams’ team of moderators to verify trades and the confirmation of winners. The participants with the highest net profits will win. The resulting Top 1 to 40 participants after deliberation will be announced as the official winners.

20. Modification and adding of rules. Investagrams has the right to modify the rules of the competition and add protective measures against any future abuses that may arise to ensure the integrity of the Investagrams Trading Cup 2019. Announcements shall be made if there are any changes. Rest assured, we prioritize keeping the competition as FAIR as possible to all participants.

21. Ignorance of the rules is no excuse. All participants are expected to have read and understood the rules and mechanics of Investagrams Trading Cup 2019. These are published for the participants’ information and protection. Ignorance of these rules and mechanics is not an acceptable excuse for violation.

22. Sponsors. Apple is not involved in any way in this competition. The sponsor(s) is/are solely responsible for providing the prize(s) listed herein. The prize(s) won are not apple products, nor are they related to apple in any way. The responsibility of organizing this competition and distributing the prize(s) are the sponsors’ responsibilities. Apple does not sponsor this competition in any way.

Learn how to trade your way to the top and be the next Trading Cup Champion!

Click here to join
Investagrams Trading Cup 2019!