Anglogold has had a spring and test of the spring. After a good markup in phase D we have seen a pullback on reducing volume to a last point of support (LPS). Time to look for the markup out of the trading range.
All the gold stocks are actively being marked up (See posts below) but Harmony is only now starting. It was able to break the above the yearly pivot point and 200 day SMA today only. Anglo Gold ( ANG ) for example has already broken above the accumulation trading range but Harmony is only now completing the Spring and test of the spring.
After the distribution and markdown (discussed in previous posts), we have had a selling climax (SC). This is noted by the high volume and capitulation of the market. Now we are seeing an automatic rally (AR) from the SC lows. This should back up (BU) to the previous distribution trading range. Once this is done we could see a trading range form (fluctuating...
AB Inbev has been trading in a defined downtrend. However, price has reached the oversold line and a volume spike indicates supply. A reaction of the trendline indicates the start of a potential uptrend in the downtrend. The potential is to take us back to the yearly pivot point and oversold line which could take us back to R1200.
This week the volume on many stocks have increased after significant declines. We identified Sasol potentially having a selling climax (See post below). Going down to the 1h time frame we see a trading range developing with a large operator buying at R30. However, equally, there is supply matching this demand. As a result, we see effort (high volume) without...
The JSE Industrial Index went through a distribution trading range and together with the overall market started to markdown. However, relative to the Top 40 the Industrial Index is showing strength. However, it is probably not time to get too excited as this is likely to only be a pullback and test of the trading range that was broken. In the short term, this...
We have been flowing the distribution and markdown of AVI from the beginning of 2019 (See posts below). Although we are in the markdown phase we have now seen a selling climax with price going oversold and breaking the demand line. We have seen a reversal bar and the stock should now have an automatic rally and enter a trading range.
After finding support at the yearly pivot point I thought we had seen the spring and the markup is to follow. However, we have had a stop loss run where large interests were hunting stop losses to generate more liquidity and accumulate more shares. A break back above the 200 Day SMA and yearly pivot point could be the start of the markup. Clicks is stronger than...
Just like the other gold stocks Gold Fields has lost a lot of value in the last couple of days. But just like some of the other gold stocks it has held above the yearly pivot point and 200 Day SMA and formed a spring of the trading range. The volume increases during markups, it is stronger than the Top 40, there is divergence with the Volume RSI and a reversal bar...
DRD Gold has dramatically lost half its value in about a week. However, after testing the bottom of the previous trading range it formed a higher high (HH) and could not stay below the yearly pivot point and 200 Day SMA. A strong reversal bar indicates an impending markup for the stock. Increases have been on volume indicating demand.
After dropping below the trading range, the yearly pivot point and 200 Day SMA, today it has rallied and is showing a reversal bar. This looks like a spring and what is expected now is for the markup in Phase D. Due to the high volume we may have a test of the spring again to use up the last bit of supply but in the weeks to come we are looking for a markup to the...
Sasol has had a dramatic decline this week. Price has spiked below the downward stride (Oversold line) on the back of the drop in oil prices. Volume has been the highest recorded. This could be a selling climax with a reversal bar indicating the possible start of an automatic rally. The rally should be as volatile as the decline and could close the gap that was...
The drop in resources has been unexpected to me (See posts below). I would expect gold stocks to improve in a risk-off environment. However, this has not happened. The theory seems to be that due to the selloff in other stocks large interest has also been caught on the wrong side of trades and have had margin calls and needed to raise cash quickly. They have done...
The JSE Industrial Index has broken below the lows of the distribution trading range. Some support could be found at 5500 but after a backup to the trading range, the markdown should begin in earnest. The Industrial Index is stronger than the Top 40 index and the decline in this sector is slower than the rest of the stocks.
Following the Wyckoff logic of the markets the distribution trading range (Started in 2015) of the JSE financial index has been broken and the markdown (meltdown) has started. The upward stride has also been broken. The financial index is also performing poorer than the Top40 index. We could have a backup to the trading range with price finding support as previous...
Institutional investors which include foreign investors have bee distributing the JSE stocks since 2015 (see posts below for further analysis). Following a Wyckoff approach to the markets an upsloping distribution range was formed and now the markdown has started. Price has broken the upsloping stride and the lows of the automatic reaction (AR) at the start of the...
With strength in the background, we were looking for the bounce of the yearly pivot point in the previous post (see below). Now there has been another spring to the 200SMA. A good reversal bar with some volume could indicate the markup is now ready to go.
Another one where the distribution has completed. After going overbought when it spiked through the upper trendline a buying climax (BU) was formed in 2018. After that Santam was trading in a distribution trading range. After an upward thrust (UT) price has been unable to break above the 200 SMA and Yearly Pivot Point and formed a last point of supply (LPSY). Now...