We give a quick recap of markets overnight and the previous day and insights into the day ahead with a few trade ideas on the day. Ideas are strictly NOT INVESTMENT ADVICE.
Nice breakout on JSE:FSR . Potential resistance near R71. From my view, the juice isn't worth the squeeze, there are better setups in other bank stocks, unless you trade in a smaller time frame.
We have a nice head and shoulders pattern. Backed by rising interest rate. Rising interest rates are significant wind at the back. Just a matter of waiting for the breakout
JSE:FSR is showing good signs of upward momentum whilst trading in an ascending triangle. If it breaks through the top resistance of the triangle, I will enter long.
Price here on the monthly chart testing the trendline and bouncing higher. Price at a new 52Week high and if we zoom into the weekly chart we see 5300 an SR level and 7000 the next SR level to watch for price action. Also note the stock is overbought on the daily chart. A decent spot for a long pos here. As always manage your risk
One of several charts/insights published to our client platform this morning.
Major Domestic Shares: Relative Performance vs Top 40 Index With 50-day Moving Average (Blue Sloping Line)
MTN, NPN, FSR, SOL, AGL, CFR.
For more insights/real-time ideas, get in touch today.
JSE:FSR broke through a support trend line late November which it has since tested again and it seems to have become a resistance level. If it continues downwards and the MACD crosses downwards as well, I think we could see a short move down towards the 5200 price area. I will wait for confirmation before entering.
JSE:FSR has recently bounced off a strong upward trend line. Based off of this as well as the momentum indicators which are all showing upward momentum, I think we could potentially see a nice upward move towards the resistance level at around 7000
FSR pulling back to horizontal support. If it can close above Fridays high we might see a snap back rally.
Possible targets can be the 50dma then R62,50 and above that the recent highs.
Trade ideas are my own and not financial advice.
An extract from this morning's client research note:
Firstrand (FSR, 5908c) | The share has been sold off over multiple sessions, with the last fours closes below the near-term moving averages and the price now close to it’s swing lows.
POTENTIAL BULL TRADE SETUP: Look for a piercing candle i.e. trade below yesterday’s low followed by a reclaim for a move back...
Price pushing through the 57.50/58.00 resistance level today, 'confirming' the next leg higher.
Price is overbought though (on the RSI), so I would wait for a retest of 57.50/58.00 as new support before initiating new 'longs'.
We could get 65 next.
Break and retest from daily time frame
Monthly time frame is targeting the next high and it seems like still a good time to buy because we created a beautiful low price on h4 and break and retest on daily
We spent multiple months below previous support after a big down move.
We can now short the levels marked as there is a higher probability of it going down here due to the fact mentioned above.
It might not reach the exact level as marked by the position but this area is good enough.
