EDC price fluctuation vs tender offer price

Energy Development Corporation

With the recent announcement of a Voluntary Tender Offer for EDC Shareholders, price fluctuation below the tender offer price can potentially give an investor/trader a good gain in a relatively shorter period of time.

Tender Offer Details
- Tender Offer Price: P7.25 per share
- Offer Period: August 10 ~ September 18, 2017
- Closing/Cross/Settlement Date: September 29, 2017

Trading Plan
- Accumulate at below tender offer price with consideration of upside potential, sell to the market near offer price or higher.
- Participate in the tender offer if remaining position cannot be disposed off the market.

Consensus of stocks under the PSEi index

Source: First Metro Securities
https://www.firstmetrosec.com.ph/

August 4, 2017

PSEi Chart Update

Philippines Stock Exchange PSEi Index

- PSEi has retested the resistance zone around 8000~8100.
- Immediate support area remains at 7720~7780.
- Previous Bull Flag breakout pattern remains valid with projected target price around 8300. See previous chart update for reference:
https://psetrends.blogspot.com/2017/04/psei-chart-update-and-technical-analysis.html

SMC price action analysis

San Miguel Corporation

SMC is recently trading near its immediate support area including the 19-month uptrend line.

Trading Plan
- Potential buy near support with a stop-loss a few points below immediate support area (keep at least 1:2 risk/reward ratio, the higher the better).

2GO breakdown

2GO Group, Inc.

2GO is on a breakdown from a Descending Triangle pattern with projected target price around 15.5~16.4.

See previous analysis for reference on this pattern as it unfolds:
https://psetrends.blogspot.com/2017/07/2go-potentially-forming-bearish-pattern.html

Trading Plan
- Avoid for now.