I have been watching this trading range develop during September and it looks like Sibanye is ready to be marked up back to the redistribution trading range. The downward stride has been broken and a shorter term base formed. There has been low volume pullback to Last Points of Supply (LPSY) which coincides with the 50 Day SMA. The Volume RSI has indicated divergence to go long. There is Signs of Strength (SOS) in the last move up. The next markup in Phase D of the shorter term accumulation range could extend to the 200 Day SMA around 1050 (Volume cluster of volume profile). This potentially will be followed by a backup to the accumulation range and then the Phase E markup potentially will start with a target of the bottom of the previous redistribution range and possibly 1500.
Comment:
Price is consolidating at the trading rang ready of the markup to continue. SGL is still showing demand even though the JSE is showing a lack of demand. This indicates some strength.
Comment:
After breaking the 200 Day MA and nearly reaching the previous trading range we have seen a pullback to the 200DMA and 50DMA on declining volume. So now just waiting to see the finalization of the pullback before the markup continues.
Comment:
After completing the backup to the redistribution range price has broken back in to the smaller accumulation TR, broken and tested the 200 and 50 Day SMAs and now seems ready to continue the redistribution markdown.