R.I.P. NI

All good things must come to an end. And so today was the day those that had NI should've sold, unless they planned to be an investor.

Many of you will wonder, why sell? The momentum is still there isn't it? Friends, if that's what's running in your mind, it's your greed talking to you. And greed won't have served you well today.

Technically, NI was a sell when it broke the short term support today, which was at 21.25. Once it reached the high of 21.25 today, which was where it opened, it was all downhill from there. The low for the day was 17.75 and many who still hold this are probably wincing in pain when they saw the low.

Today definitely was a day that NI holders sold as seen in the increase in volume. Logically, the time was ripe as those who bought below 20 were ready to unload. On the other hand, those who were stuck above the 20 peso level since a few months back, were also unloading, minimizing their losses.

Whatever the case, today's action was definitely bearish. We're not saying NI won't go back to the 20 peso level. What we're saying, you should check your greed at the door and use your head to trade not your heart. When you saw the price was dropping like a brick, it was a seller's market, and you had to go with the flow.

So for now, rest in peace, NI.

How Now NIhao?

Today's trading was minimal to say the least. However, the expected consolidation for NI's 2nd flag sure looks irregular. You see, normally in the local market, when a flag consolidates, the allowance given for its resistance is one fluctuation, either higher or lower, than the previous day's high. Today's high of 20.75 is 2 fluctuations higher than Friday's 20.25. Then again, this is more acceptable than the consolidation that happened last Wednesday.

Momentum definitely is still here but the big question is how long will it last? More importantly, how far can this go up? I'm not one to dwell on how far I can make my margin stretch therefore I'm now in a mode where selling can happen anytime.

How about MIC? Definitely this one doesn't have the torrid pace set by NI since two weeks back. Yet, it has a hard time surpassing 6.60 which used to be where the 65MA was. What is sure is that the 65MA is now below 6.30, so we can see support at this level. It remains to be seen if 6.80 can be reached.

This may be the one of the last times I will talk about NI as its nearing the end of its run. I'll probably get back into this when it shows a new pattern that we can play.

Are you ready, NI? Are you ready, MIC? LET'S GET IT ON!

Eenie MINI Miney Moe

What a rush! Current speculative favorites MIC & NI are still at it, captivating many traders with their recent runs, especially NI.

NI has been on a tear ever since breaking out of a triangle formation around a week ago. From that time, it has been flagging (is there such a word?) upwards. It is now knocking on the door of 20 pesos and there could still be some momentum for NI to push higher. BUT this must consolidate for the moment for the last run. Otherwise, get ready to run with whatever profits are made here. Remember, the multitude of investors above 20 pesos are waiting to get rid of their holdings.

In the case of MIC, it made the days of many for a little while after it hit a high of 6.60. Unfortunately, the intraday chart looked ugly, closing at the opening price of 6.20, giving it a bearish look. I'm now a bit apprehensive about its run. If I'm lucky and MIC tries to go to 6.80, I'm selling.

May the stock gods look favorably on us all.

NI Jerk Reaction

Again, interest in NI has caught the attention of many garbagemen. I expected a consolidation for today before it kicked higher. Apparently it was ready to move higher, therefore we saw a 2 peso spread for it today with good volume kicking in again.

Should the DJIA perform well tonight, and the futures are already pointing upward, we may see a spillover to our own market, fueling more buying for practically every hot issue. NI is definitely bullish right now as it has surpassed its 65MA. There's no stopping it now...or is there?

We have to remember that NI came from the 20+ peso level before it sank to levels that turned traders into investors overnight. Therefore, when this returns to around 20 pesos, we should expect heavy posting of selling orders. There are a lot of investors above 20 pesos who are raring to get their money back.

In the meantime, I am still awaiting further appreciation for NI to the 22 peso level. If we're lucky, this can be a jackpot trade. If not, we have already set our stop at the previous target of 16.25 (based on the ascending triangle it broke out of).

Let's get ready for more fast and furious action on NI!

Come Fly With NI

C'mon, sing it like Sinatra or Buble (whichever you choose is fine).

"Come fly with NI, let's fly, let's fly away..." Today's action from NI is expected as one of two scenarios: either it consolidates or it rises even further. What is the difference of the two? If NI climbed higher today, I would think that NI has suddenly turned too bullish and is now in a spike. If it became a spike, I wouldn't think twice about getting off this love train. But it is in a consolidation mode. Therefore, I'm now waiting for one more day of consolidation before I can project the upside target of this flag. But it is safe to say that our upside target is 5.25 pesos from wherever the resistance will be. So this would be roughly 22 pesos.

Am I greedy? Not necessarily, as this move is technically justified. But should things turn sour suddenly, I'm ready to take my profit.

More updates to NI as it develops.

"...pack up let's fly away!"

NI: Rise of the Dead?

Just when I had given up NI for dead, it shows some bullishness in its consolidation.


As we can see in the chart, an ascending triangle has manifested itself onto the scene. Should this breakout of the pattern, a buy could be called above 12.50, where our resistance is. The target of the pattern is 16.25. I would initially put a cut loss at 11.00. Of course this becomes higher as the days go by and the triangle isn't broken.

We see on the MACD that it is still in a rally mode. Should this continue, we may see the fast line move above the zero line.

But a word of warning to the uninformed. Since this stock has low liquidity, you could be in for a Nihaosiao.