This stock (along with all banks) has wallowed in over-sold territory since the beginning of July. It's been a one way slide with no let up but I think it's over done and just maybe the Rand can throw it a life-saver.
After breaking horizontal support, the price has almost mimicked that previous "long tail" move. The stock went on to rally significantly after that and while I don't expect a MONSTER rally, I am more than happy to try and profit from a less significant "relief" rally. I expect our Rand to make a bit of charge back towards R15.00/$ and with it, prop up our financial stocks. That should see FSR attempt to test the previous support level (which is now resistance).
I know being long any financial stock in the current climate is risky, but hey...things don't move down in a straight line either....(except Sasol of course). Definitely a breaveheart trade
After breaking horizontal support, the price has almost mimicked that previous "long tail" move. The stock went on to rally significantly after that and while I don't expect a MONSTER rally, I am more than happy to try and profit from a less significant "relief" rally. I expect our Rand to make a bit of charge back towards R15.00/$ and with it, prop up our financial stocks. That should see FSR attempt to test the previous support level (which is now resistance).
I know being long any financial stock in the current climate is risky, but hey...things don't move down in a straight line either....(except Sasol of course). Definitely a breaveheart trade
Trade closed manually:
I have run out of bravery...
I have banked early profit at R58.22... A profit is a profit but I'm getting scared now.
I have banked early profit at R58.22... A profit is a profit but I'm getting scared now.