Market Watch – The Book Of (ELI)

Empire East Land Holdings, Inc., ELI philippine stocks, Andrew Tan, Ron Acoba, cup and handle, bullish breakaway gap, daily stock picks, stock market trading

An Andrew Tan-led company, Empire East Land Holdings, Inc. or ELI in the Philippine Stock exchange caught the market’s attention in today’s (February 7) trading when it rose by more than 14.52% from an opening of PHP 0.64 to a to close at its daily high of PHP 0.71. So looking at its price canvas above, you will see that ELI had already broken out from a complex cup and handle pattern about three weeks ago before making a return trip back towards the formation’s neckline. for awhile there I thought that ELI previous bullish move would fail but it’s a good thing that the cup and handle’s neckline was able to catch AGI’s descent and even push it high it back up.

Empire East Land Holdings Inc., ELI philippine stocks, Andrew Tan, Ron Acoba, cup and handle, bullish breakaway gap, daily stock picks, stock market trading

ELI even looks more promising now as we zoom closer to its 6-month time frame. Notice how the stock made a bullish breakaway gap right few days after the red moving average kept it afloat. As some of you might know, the stock usually move in the direction of the breakaway gap as this signals the market’s increased optimism toward the issue. Oftentimes, a breakaway gap is even followed by another gap in the days to come. Moreover, today’s price action was accompanied by an increase in volume, suggesting that its move north would likely be supported. Moreover, the MACD’s histogram is about to turn positive. Such occurrence could further add to the stock’s buy signals. Furthermore, the stock still has more room to move higher, in my view, since its RSI is still far from the overbought area. In any case, ELI could once again aim for its recent high at PHP 0.84 if it continues to move up.

On the fundamental side, news that ELI submitted an offer to the Department of Finance (DOF) to purchase the government-owned Food Terminal, Inc. (FTI) in Taguig City for about PHP 14 billion caused investors to buy up ELI’s shares. FTI is one of the largest industrial complexes, in terms of area, in Metro Manila. Developing this complex into a business and residential hub more like what Megaworld Corporation (MEG), an affiliate of ELI, did to McKinley Hills, Eastwood City, and Newport City to name a few, could pay huge dividends to the company as such would attract businesses that would lease spaces and individual investors that would buy properties.

Comments

  1. grattage en ligne says

    You should take part in a contest for one of the best blogs on the web. I will recommend this site!

  2. bPer957 says

    Hi Ron,

    Is the book of ELI all set to be opened again?
    Your FGEN and FPH chart analysis were superb!!

    Thanks…

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