runyamhere

Pick n Pay (PIK) Setting Up a Top

Short
runyamhere Premium Updated   
JSE:PIK   PICK N PAY STORES LTD
Pick n Pay price has fallen out of the rising wedge and has made several attempts at re-entry without success. Now watching price action into ex-dividend date likely to result in a top & see price move downwards.

The downward pull is expected to drive price to or below the blue trendline. If price goes below the blue trendline & goes lower than 27 September it opens a bigger door to testing the R43 level into March/April 2023.
Comment:
PIK came close to the blue trendline & is showing a reaction from there. We can now draw a declining trendline from 18 October 2022 through 28 November 2022 as near resistance. If price is rejected on that resistance & goes below 19 December we can be confident of a larder drawdown coming much faster.
Comment:
PIK went lower than 19 December, then breached the near resistance but was rejected at 18 October through 8 December resistance. It has formed a swing high. Now we expect price to trend downwards and find a bottom in first or second week of February where shorts will be closed & squeeze more profits in a long position.

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.