Varta was recently stuck in a triangular formation that erupted on October 22nd, 2020.
The price then went up to a high of € 119.70.
From there there was a retest, which now functions as a (around € 116.10).
The hourly chart now shows that the € 117.90 is also a .
As you can now see in the trend channel, we are at the bottom of the channel, which with the combination of ATR & can be interpreted as an oversold signal and from there the price goes up.
Since the course of Varta has overcome the first hurdle and is now taking a run-up for the second hurdle, we can expect that the resistance at € 120.10 will be broken.
A new retest could act as confirmation and then significantly break through the at € 123.00.
After the breakout of € 123.00, we are heading for the all-time high of € 138.00.
Varta AG is fundamentally well positioned and is a clear favorite for the year 2021!
Fundamentally, in my opinion, the price at Varta should already be € 160.00.
The arguments of the short sellers, the increasing competitive pressure from Asia, can easily be refuted with the arguments that Varta has a much better quality of batteries than most of its competitors,
the patent dispute with Samsung has been settled and Varta will continue to be the main supplier of rechargeable batteries in the years to come for headsets remains.
At the moment there are also hot rumors of Apple's strategic participation in the Titan project and its batteries, which Varta could supply.
In addition, Varta is to pay a dividend to its shareholders in 2021 for the first time since its IPO .
Many other positive post-rituals came up, such as that Varta supplies batteries for corona antibody tests.
These positive post-rituals should have allowed the course in America to shoot through the roof, which unfortunately is not the case here in Germany.
Still, my short, medium and long term prospects for Varta are very positive!
In terms of charts, it looks very good for Varta and fundamentally Varta is also correctly positioned, which speaks for higher prices.
Since the positive news about Varta is hardly or not at all reflected in the course, Varta is very oversold and, in my opinion, very undervalued.
This amount of positive messages does not disappear but rather compresses.
** All of this is my personal opinion and is not investment advice or a recommendation to buy.
I am not responsible for any damage.