Nickel Asia Corporation Technical Analysis
Nickel Asia Corporation (NIKL) closed at P6.32 per share, up by 8.03 percent, on February 22, 2021. The total turnover value reached P240.48 million.
The foreign investors’ participation’s size is quite noticeable, which started in the last week of October 2020. Did you know that they’ve been on a net buying mode for 10 consecutive trading days already? Today, they registered a net foreign buying worth nearly P48 million.
NIKL’s ascent is supported with volume. I see two towering volume bars registered in the two past consecutive trading days, which are both higher than 100 percent of NIKL’s prevailing 10-day volume average during the said days.
Despite the bullishness of the NIKL, it managed to maintain a 10-day historical volatility score below 70 percent, which makes it a moderate-risk stock.
Using the 14-day standard smoothing period in my Directional Movement Index, I see that the +DMI registers a bullish divergence from the -DMI, which is in favor of the bulls, of course. However, I prefer to see the Average Directional Index’s score touch the 20-point mark to validate a strong upward momentum. But what more can you ask for? NIKL’s has risen from P1.40/sh to P6.30/sh since May 2020.
The immediate support sits at P6.00, while the immediate resistance stands at P7.50. If NIKL retreats, P5.30 will be its support level.
Based on my Evergreen Strategy 1.0, the stock will only get a confirmed buy signal if its 10SMACD and Momentum Power Indicator are both bullish. NIKL’s 10SMACD is bullish. Let’s proceed to my trade-volume distribution analysis to know the status of its Momentum Power Indicator.
Trade-Volume Distribution Analysis
Last Price: ₱6.32
Intraday Low: ₱5.9600
Intraday High: ₱6.4100
VWAP: ₱6.2614
Dominant Range: ₱6.28 – ₱6.40
NIKL got a bullish Momentum Power Indicator since all of its parameters are bullish. This mining stock has a confirmed buy signal. But don’t be too quick to decide to buy. Consider what the overall True Market Sentiment says, too.
True Market Sentiment EOD – February 22, 2021
True Market Sentiment: NEUTRAL
5 of the top 10 brokers registered a positive Net Amount
6 of the top 10 brokers registered a higher Buying Average than Selling Average
Top 10 Players’ Buying Average: ₱6.2722
Top 10 Players’ Selling Average: ₱6.2611
10 out of 83 participants, or 12.05% of all participants, registered a 100% BUYING activity
30 out of 83 participants, or 36.14% of all participants, registered a 100% SELLING activity
True Market Sentiment MTD – February 1-22, 2021
True Market Sentiment: BEARISH
4 of the top 10 brokers registered a positive Net Amount
4 of the top 10 brokers registered a higher Buying Average than Selling Average
Top 10 Players’ Buying Average: ₱5.6688
Top 10 Players’ Selling Average: ₱5.7926
8 out of 101 participants, or 7.92% of all participants, registered a 100% BUYING activity
17 out of 101 participants or 16.83% of all participants registered a 100% SELLING activity
It’s a topsy-turvy overall True Market Sentiment across two timeframes. It’s neutral with a bearish bias. It seems NIKL is more likely to rest a bit as it temp-checks the appetite of the investing public to buy more. Watch out for the daily moves of Wealth Securities and Deutsche Regis Partners. If these two start to register a net selling amount for 2 to 3 consecutive days, it’ll be more likely for the trend to continue to move toward the immediate support. Ask for our latest True Market Sentiment (EOD) chart and statistics in our Private Clients Forum (for our subscribers only).
Recommendations
If you already have a base on NIKL and if your trailing stop is intact, you have two options.
Option 1: Top up within the prevailing dominant range if you have a high-risk tolerance.
Option 2: Hold your position if you have a low-risk level due to the neutral (with bearish bias) overall True Market Sentiment.
If you don’t have a position on NIKL, you may consider the two options I mentioned above, depending on your risk level. Of course, you must calculate your reward-to-risk ratio first. Only when you are satisfied with the ratio should you position to buy within the prevailing dominant range.
If the dominant range I indicated above doesn’t show up within the first 3 to 5 minutes of trading by the next trading day, please ask for NIKL’s latest trade-volume distribution in our Private Clients Forum (for our subscribers only).
If everything I said above seems a lot to absorb, please attend my 2-day online event on February 25 and 27 so you’ll be able to learn how to invest independently and trade tactically. All attendees will get a 1-year free subscription to Equilyst Analytics. Click here to get your ticket.
Learn How to Invest INDEPENDENTLY and Trade TACTICALLY
Let me mentor you through our stock market consultancy service. Learn my Evergreen Strategy in Trading and Investing in the Philippine Stock Market.
Click here to read the details of our stock market consultancy service.
Here’s what our clients say about us.
it helps me review my portfolio
I love the little bits and info that I receive every now and then. It helps me review my portfolio and renew my perspectives when the need arises.
most relevant and direct
Of all the email I received daily regarding stock market performance, I find yours the most relevant and direct. As a newbie, it really helps a lot. I have been reading your previous post and it’s indeed a light in the midst of all the confusion. Keep up the good work. May God bless you and your team.
very helpful!
very helpful!
Thank you for your technical analysis
Hi Jaycee, Thank you for your technical analysis and articles which enables both investors and traders to be well informed when making their investments.
Very helpful and time saver!
Very helpful and time saver!
Continue what you have been doing
These types of free tips are what we, Filipinos need! These types of reviews are what will make people encouraged to invest in the stock market. Continue what you have been doing and everyone else will be encouraged with the help of your stock tips. Thank you so much!
Two thumbs up for a really impressive output
Dear Jaycee and to your team,
Congratulations for a job well done in creating the new stocksignals website. Two thumbs up for a really impressive output. It is really very impressive and looks like very user friendly especially for a new investor like me. I would be very happy to recommend it to friends too. May your tribes increase. God bless you more.
full of significant content to keep you interested
Jay’s emails are an awesome way to learn and read about what is happening in the market. They are not so long that you tend to doze off but still full of significant content to keep you interested.
very interesting & convincing
I find your posts very interesting & convincing as a stock trader/investor. I might try to ask your help one of these days since my portfolio is all RED. Thank you.
Very professional insight
Very professional insight especially for trending stocks. Thanks for the heads up Sir.
- MA, BDO, ALI, URC, PX: Is Their Dominant Range Pointing to a Breakout? - March 14, 2025
- Tracking Market Sentiment: MTD Ratings for 30 Bluechip Stocks (March 2025) - March 13, 2025
- PSEi Stalls Below 6,260 as Market Awaits Political Shift - March 12, 2025
