NTC Monthly Chart
From an equity portfolio perspective, South African hospital stocks have been out of favour for an extended period however short and medium term opportunities have arisen in both Q1 and Q2, with both Life Healthcare and related-sector stock, Aspen Pharmacare as flagged as buy/longs during the period. Reviewing the monthly chart of Netcare Ltd, we note the price having found multi-month support from March 2020 to January 2021 at the prior demand zone (Aug 2011 to February 2012). Further motivation for a possible long term change of trend is the price emerging from the downward channel (trend line extending back to May 2018) while also attempting to trade above the long term demand/supply zone. We also note that despite being below the zero bound, the MACD has developed a crossover while the monthly RSI is just above the 50 level and pointing high. The potential long term trend change is early but possibly worth noting from an equity portfolio perspective.
This comment was originally published on our client platform earlier today.
Also published this morning via our client platform: Technical views on Sasol, Absa, S&P 500 Futures and FTSE 100 Index
For more real-time insights and ideas, get in touch today.
From an equity portfolio perspective, South African hospital stocks have been out of favour for an extended period however short and medium term opportunities have arisen in both Q1 and Q2, with both Life Healthcare and related-sector stock, Aspen Pharmacare as flagged as buy/longs during the period. Reviewing the monthly chart of Netcare Ltd, we note the price having found multi-month support from March 2020 to January 2021 at the prior demand zone (Aug 2011 to February 2012). Further motivation for a possible long term change of trend is the price emerging from the downward channel (trend line extending back to May 2018) while also attempting to trade above the long term demand/supply zone. We also note that despite being below the zero bound, the MACD has developed a crossover while the monthly RSI is just above the 50 level and pointing high. The potential long term trend change is early but possibly worth noting from an equity portfolio perspective.
This comment was originally published on our client platform earlier today.
Also published this morning via our client platform: Technical views on Sasol, Absa, S&P 500 Futures and FTSE 100 Index
For more real-time insights and ideas, get in touch today.
