Nexon Co. generates +/- half of it's sales from China, where Tencent distributes its popular game Dungeon & Fighter. In a statement released yesterday, they mentioned that they expect revenue from China to drop by double-digit percentage this quarter, contributing the main reason to the months-long freeze on new games.
This drove Naspers down today to a key trend resistance line. Should we break & close below the R2980 levels, we could test the 50-day moving average at R2938 first, with next resistance only coming in at R2739. Should it however bounce off the current trend line, we could see it test and break the 200-day moving average at R3071 again, with possible next stop being the upper band of the channel at R3350.
Consensus forecasts are still very bullish on Naspers, with Thomson Reuters 12 month forecasts still showing 42% upside from current levels (according to mean forecasts from all analysts covering Naspers).
This drove Naspers down today to a key trend resistance line. Should we break & close below the R2980 levels, we could test the 50-day moving average at R2938 first, with next resistance only coming in at R2739. Should it however bounce off the current trend line, we could see it test and break the 200-day moving average at R3071 again, with possible next stop being the upper band of the channel at R3350.
Consensus forecasts are still very bullish on Naspers, with Thomson Reuters 12 month forecasts still showing 42% upside from current levels (according to mean forecasts from all analysts covering Naspers).