Price has broken out of this rectangle setup tested the SR level at 474. Stock is a bit illiquid at the moment. A long position can be initiated when price closes above 475. As always manage your risk.
Price has broken out of this rectangle setup tested the SR level at 474. Stock is a bit illiquid at the moment. A long position can be initiated when price closes above 475. As always manage your risk.
Original Idea Attached (28 July).
Technically, gave us a bull flag while the fundamentals were appealing. As I noted on 28 July:
Share price -93% off all-time highs.
Trading at discount to book value.
Turnaround efforts started in 2019 largely concluded.
Order books healthy.
Mkt Cap R758m vs Revenue of R8.6bn (down 20% in 2020).
Cost reductions implemented...
A nice reversal C&H setup has formed here. There is a decent RR if you patient enough to sit tight. However this is a pretty illiquid stock however and the LT price trend is still down so this would be trading against the trend so always remember to apply your risk management principles. Good luck out there.
Hulamin (231c) - if not already held, it might be worth a further look. Small position due to liquidity/size.
Share price -93% off all-time highs.
Trading at discount to book value.
Turnaround efforts started in 2019 largely concluded.
Order books healthy.
Mkt Cap R758m vs Revenue of R8.6bn (down 20% in 2020).
Cost reductions...
After a long downtrend, we have seen an accumulation trading range starting in April 2020. After a change in character after a last point of support (LPS) in October, we have seen some volume and a markup start. Now after a backup that was unable to make much progress. We have now seen a significant bar with some volume and the expectation is for the markup to continue.
