UPDATE from last time.
I thought we would get a bit of a pull back before the upside push, but I was mistaken.
Regardless, the price was expected to move up and up it is going.
This W Formation that formed and broke out gave a decent Risk to reward 1:2. And At this point where the R:R =1 it's even safe to bank half profits and move stop loss to breakeven....
Nedbank has been steadily increasing but after breaking the upward stride and breaking below the key 25000 level it seems that there is some distribution taking place. In the distribution, we see increasing volume on the declines and decreasing volume on the increases. Volume spikes are at the peaks. Looking for some markdown to take place.
Nedbank has been in an upward slanting re-accumulation range over the festive season. With some volume returning we see a continuation of the move to the top of the channel. There is some negative divergence in the Volume RSI and a good momentum bar on Friday.
Nedbank Group is one of SA’s four largest banking groups by assets and deposits, with Nedbank Ltd. being its principal banking subsidiary. Nedbank Group is a JSE Top 40 company with its ordinary shares listed on the JSE since 1969 and on the Namibian Stock Exchange since 2007. The group's market capitalisation was R128 billion at 31 December 2017. Old Mutual plc...
Nedbank has spent most of this year in a bearish downtrend trend. After creating a high of R316.50, Nedbank fell as far as R223.58. It has rebounded off the low, but the stock is finding itself at a key resistance level once again.
The devil, however, is in the detail so let us analyse the chart.
The first thing to note is the declining trendline. Nedbank ...
Nedbank is testing the oversold trend of the upward stride which is just below the Yearly Pivot Point and at the 200 Week SMA. High volume has been come in and there is effort (OBV) with out response indicating demand has increased. Looking for the upward stride to continue.
- NED's at a bit of an inflection point (50/50 pivot point )
- Volume-profile favours the thesis
- Will allocate Short if yellow shaded area is broken
- Alternatively, will look to Long if price breaks above pink trend-line
