2011: Go high with JGS

If you're shopping for stocks to go long for 2011, JG Summit (JGS) is definitely one of the best picks. Just in case you don't know, JG Summit is the umbrella corporation of Cebu Pacific, Universal Robina Corporation, Robinsons Land Corporation, Digitel Philippines, United Industrial Corporation, Robinsons Bank, and JG Summit Petrochemical Corp run and owned by the Gokongwei family. JGS is one of the leaders in agro-industrial and commodity food products, telecommunications, property development and hotel management, air transportation, petrochemicals, information capital and financial services, and other supplementary businesses.

Probably you've heard me fantasize about JGS for a number of times already but who won't for a company that gave a growth of roughly 2000% in less than 2 years? In fact, it went up for as high as 2500% by near end of 2010 before starting to go down slow. If you had placed P100,000 in JGS back in March of 2009, you'd be having P200 million by now!

Anyway, speaking of JGS's potential, the chart below shows that [1] JGS is resting on it's uptrend support (which is very well inclined by the way), [2] it is bound for wave 5 according to Elliott Wave Theory, and [3] MACD (encircled below) signifies buying spree is just around the corner.

Take away the complexities of the analysis and summing it up, JGS is bound for another uphill climb and based on it's performance over the past 2 years, we're talking about some serious growth. Another 2000% gain might sound too ambitious but 500-1000% or maybe lesser won't hurt either. If that won't excite you, I don't know what will.

The chart below is JGS's chart from November of 2010 until February of 2011. The first line (longer line) shows that JGS was resting on it's downtrend support from November of 2010 until around mid-January of 2011. The second line (shorter line) shows that JGS didn't return to it's support and started to go back up. JGS is starting to gain momentum and it won't be long until it will start to rise again.

According to experts and professionals, PHISIX will get back up soon and by that time, expect JGS to continue it's uptrend too.

JGS is at P19.60 right now, quite a bargain if you ask me. We still haven't heard anything from JGS yet but as soon as fundamentals could back the technicals up, it will further solidify JGS's rise.