Usually a good indication of a reversal at the bottom of a trend is the inverse head and shoulders pattern. I'm looking to buy IF the price pulls back to 17.50 (or very close). I am going a little more aggressive on this one and risking 3% of my portfolio should my SMART strategy clients get entry. I'll be targeting R18.95 with a stop loss at 16.75. robp@unum.co.za
Netcare Ltd (NTC) is signaling potential for a short term recovery. Yesterday we saw the price test it's downward trend line resistance while the RSI gave an early signal, having broken resistance going back to March. At current levels or better (R15.73) I see an opportunity to take a buy/long, using a stop-loss of R14.95 and Take Profit Target of R16.90.
We may derive the following from the Monthly NTC chart:
1. Price is still in a massive downtrend.
2. Price i.m.o should respect the monthly channel support.
3. I would wait for around ZAR 15 p/s before considering any buys.
4. NB: The trend is still down - so be cautious in buying.
5. As always - maintain your risk.
Note: The views provided herein do not...
Trading Methodology:
1. An asymmetric bullish/bearish pennant is drawn using ascending and descending curved trend lines with a minimum of three price action touche points per line. The direction is determined by the previous trend.
2. The angle tool is applied from the earliest two trend touch points, beginning at the earliest touch point.
3. A trend-based...
Netcare has shown high volume during a small redistribution trading range. Some buying has taken place but supply has overcome the demand. There is still supply but no demand indicated by the low volume. Price is continuing to be marked down.
This chart looks like an emergency that requires an urgent intervention! Perhaps the major volume seen today could be an indication of capitulation and i will be monitoring the price action in the days ahead to see if it is able to recover from these over extended levels. Should this level hold which is also coincidentally the bottom of the downward sloping...
I have spotted a Head and shoulders inside a head and shoulders on the stock. The price has bounced to test the common neckline so I have used this bounce to get SHORT. RSI and Stochastic RSI are still weak so I don't expect the bounce to carry. I'm looking for a move to below R22.00
