JSE:AGL has broken through a descending resistance line and is looking good for a long position.
For the more cautious trader, I would wait for it to close above the resistance level and the fractal before entering.
I will be selling the XPT/ZAR if prices breach below the R11 550 price. Currently, prices are moving in a downtrend, g=forming a series of lower highs and lower lows and bear flags. If we see the corrective structure being breached to the downside, we will get our confirmation for a short trade.
If I'm analyzing a market, I always force myself to consider what the "other side" is thinking.
In other words, if my research suggests a buy, I take a good long look at the chart, fundamentals and the market in general and think about what the bears might be thinking.
I do this to try and ensure I don't miss anything. At least nothing glaringly obvious!
JSE:AMS has reached a resistance level just above the 83000 level. It reached this high on the 22nd of March bu then retraced all the way down to the 72000 level.
Before this, the last time it reached these levels was in April 2010.
My thoughts are that it is going to retrace downwards again and I am looking for a move back down to the 72000 level. If it does...
AngloGold Ashanti is an internationaly acclaimed gold mining company with a geographically diverse and world-class portfolio of operations and projects. Headquartered in Johannesburg, South Africa, AngloGold Ashanti is the third largest gold mining company in the world, measured by production. The company was established in 1998 when the gold and uranium interests...
For almost two and a half years, JSE:AMS was stuck in a range of between R260 and R380, only once breaking out for a brief period.
In July of this year, however, the stock found good momentum, reaching a high of R500.37. It has since come off this high and is now offering traders a good entry point. Take a look at the above chart.
Firstly, note how Amplats is...
The share currently trades at 1080. A sell-off to 872 means 19% drop! This the downside target as per the measured height method. Take note of the large head and shoulders breakdown pattern.
The daily RSI is close to but not yet oversold. The weekly RSI shows a nice rounding top pattern and is sufficiently far away from the oversold region.
We also saw a...
The daily chart shows bearish price RSI divergence followed by a breach of the short-term rising trend line.
The doors have been opened for a drop to 100-DMA levels, which is seen rising to 1020 over the next few days.
Bearish invalidation is seen only if prices retake rising trend line, while fresh buying is seen only in case of a daily close above the recent...