CMH - COMBINED MOTOR HOLDINGS (Long) Long

COMBINED MOTOR HLDGS LTDJSE

Description

⋅ Jun 9, 2020 12:51 PM

- Taking a spec long on this share for a recovery play (covid lockdown)

- The motor industry is resilient in SA

- Stop loss below the recent swing low

-- MANAGE YOUR RISK - -

Disclaimer: All ideas are my opinion and should not be taken as financial advice.

JSE:CMH

Comments

NEKA4

⋅ Jun 9, 2020 3:53 PM

Hi, do you mind elaborating why you are looking to go long?
I'm a bit new and really admire your analyses, so I'm trying to understand your thinking :D

Thanks

Trader-Dan

⋅ Jun 9, 2020 4:35 PM

Thank you for the kind comment! The stock has reached levels going as far back as 2011 and has found support on the 200 day moving average (monthly). A base has formed with a pickup in volume so it gives an opportunity for a good risk/reward trade and considering the stock was also sold off because of the lockdown period , we could see a reversion to the mean. Hope that helps!