$JSEDSY - Discovery: At An Interesting JunctureSee link below for previous analysis. Discovery has traced out the three wave decline I forecasted after the five wave advance from 10073 to 16042. The decline is labelled as a zigzag with a triangle wave and wave is now near the support trendline of the falling channel. There is no evidence of a reversal yet. For this bullish, bigger picture ABC outlook to remain valid, wave B must terminate above 10073. I will remain neutral until price action gives signs of a reversal.by Loyiso_BlaqueSoros_Mpeta1
Our opinion on the current state of DSYDiscovery (DSY), developed and built by Adrian Gore over the past 25 years, offers the A/B income group of people a matrix of financial services which are inter-linked and cross-selling. Thus a customer can begin with his/her medical aid and then add to that a variety of insurance products and now, most recently, personal banking products. Discovery's "Vitality" concept, which rewards clients for looking after their health in various ways, is extended to their driving record and a rewards system that ensures that there are attractive benefits for taking the full range of Discovery debit-order products. The Vitality platform tracks over 1000 customer activities and 50 biometrics a minute by using the Apple watch in South Africa, the UK, China, Europe and the US to ensure a process of healthy aging and retirement planning. Discovery's Chinese company, Ping An Health, in which Discovery has a 25% stake, saw membership grow by 60% over the year, and written premiums increased by 87% to $753m. Ping An is rapidly developing into Discovery's "Tencent". Discovery's move into banking offers existing clients a range of banking and credit card facilities. The banking license was approved in November 2017 and should significantly increase the profits being generated by the group in time. This is a disruptive development which will seriously shift the banking of A/B income group consumers away from existing banks. Discovery Bank's aim was to bring in 1000 new accounts per day from the end of August 2019. The company has seen a drop in car accident claims and medical insurance claims since the lockdown. This is a highly rated share despite the decline in its share price over the past two years. Discovery Bank has now reached 700 000 active clients and those clients are mostly of very high quality - but the progress has been relatively slow partly because of the pandemic. Discovery shares remain expensive, but we regard this as one of the best shares for a private investor to hold for long-term growth. CEO, Adrian Gore, says "I am a great believer that opportunities are not in good times" - indicating his belief that growth comes from investing during the difficult times such as South Africa is currently experiencing. Gore has also stated that the NHI, as it is proposed, is unaffordable for South Africa and that there are insufficient medical resources to implement it. Discovery became the first large, listed company to require all its staff to be vaccinated. On 20th June 2022 the bank reported that it had more than 1 million accounts and was taking on about 750 new accounts per day. In its results for the six months to 31st December 2023 the company reported headline earnings per share (HEPS) down 1% and net asset value (NAV) up 20%. Embedded value per share increased by 11%. The company said, "The Group generated normalised operating profit growth of 13% to R5 622 million with positive contributions from each composite, as South Africa (SA) increased 9%, United Kingdom (UK) increased 13% and Vitality Global (VG) increased 71%. The UK and VG results benefitted from a weaker rand compared with the prior period". Technically, the share has been moving sideways since December 2020. Due to the quality of its management and business model, we see this as a "must have" share for any private investor's portfolio.by PDSnetSA0
Discovery Cycle Hinting at Good EarningsDiscovery has a bullish flag going into earnings, it has also confirmed 8 September as a cycle low. We can expect swift move upwards as price chases a weekly cycle high. The support of the 200 day moving average adds to the weight of evidence that price wants higher. Con: The horizontal pink line is the fail point which is now R141.90, anything below this signals the bears are in control in pursuit of a weekly low, this serves as a stop-loss and/or an opening of a short trade. A slight worry also is that the previous cycle was left translated.Longby runyamhereUpdated 0
$JSEDSY - Discovery Ltd: Five Waves Done And Dusted, What Now?See previous analysis in link below. Discovery stock reached the 16000 region previously forecasted and did not travel much further. A break below the lower trendline is a strong indicator that the bull run is complete and that the stock is now in a correction phase. I am looking for a three wave decline, similar to wave ((iv)) of the advance, before looking to get bullish again.by Loyiso_BlaqueSoros_Mpeta2
Discovery Head and shoulders - Aggressive downsideHead and Shoulders formed on the Daily. The price has clearly struck below the neckline showing it wants to come down. Aggressive traders would take full advantage here but conservative traders will wait for the price to go back up and retest the resistance before the fall. 21>7 Price<200 RSI<50 R118.00Shortby Timonrosso4
Our opinion on the current state of DSYDiscovery (DSY), developed and built by Adrian Gore over the past 25 years, offers the A/B income group of people a matrix of financial services which are inter-linked and cross-selling. Thus a customer can begin with his/her medical aid and then add to that a variety of insurance products and now, most recently, personal banking products. Discovery's "Vitality" concept, which rewards clients for looking after their health in various ways, is extended to their driving record and a rewards system that ensures that there are attractive benefits for taking the full range of Discovery debit-order products. The Vitality platform tracks over 1000 customer activities and 50 biometrics a minute by using the Apple watch in South Africa, the UK, China, Europe and the US to ensure a process of healthy aging and retirement planning. Discovery's Chinese company, Ping An Health, in which Discovery has a 25% stake, saw membership grow by 60% over the year, and written premiums increased by 87% to $753m. Ping An is rapidly developing into Discovery's "Tencent". Discovery's move into banking offers existing clients a range of banking and credit card facilities. The banking license was approved in November 2017 and should significantly increase the profits being generated by the group in time. This is a disruptive development which will seriously shift the banking of A/B income group consumers away from existing banks. Discovery Bank's aim was to bring in 1000 new accounts per day from the end of August 2019. The company has seen a drop in car accident claims and medical insurance claims since the lockdown. This is a highly rated share despite the decline in its share price over the past two years. Discovery Bank has now reached 489 000 accounts and those clients are mostly of very high quality - but the progress has been relatively slow partly because of the pandemic. Discovery shares remain expensive, but we regard this as one of the best shares for a private investor to hold for long-term growth. CEO, Adrian Gore, says "I am a great believer that opportunities are not in good times" - indicating his belief that growth comes from investing during the difficult times such as South Africa is currently experiencing. Gore has also stated that the NHI, as it is proposed, is unaffordable for South Africa and that there are insufficient medical resources to implement it. Discovery became the first large, listed company to require all its staff to be vaccinated. On 20th June 2022 the bank reported that it had more than 1 million accounts and was taking on about 750 new accounts per day. In its results for the year to 30th June 2023 the company reported headline earnings per share (HEPS) up 5% and embedded value per share up 14% at 14911c. The company said, "At a Group level, normalised operating profit increased 24% to R11 661 million; headline earnings increased 5% to R5 490 million; normalised headline earnings increased 32% to R7 678 million; and core new business annualised premium income (API) increased 12% to R22 788 million". Technically, the share has been in a strong upward trend since September 2022. We expect this continue. We see this as a "must have" share for any private investor's portfolio.by PDSnetSA2
Discovery (DSY) Consolidating in a Bull-flagDiscovery had a failed cycle in week 32, now we can expect price to confirm a weekly low as it is within the timing band. The resistance line confirms such when we close above it on a weekly basis. We can expect price to consolidate on arrival at this resistance or breakout then backtest. A rejection at this level would mean we wait and watch where it lands, lower than 12 May means another failed daily cycle & testing of the support.Longby runyamhereUpdated 0
Our opinion on the current state of DSYDiscovery (DSY), developed and built by Adrian Gore over the past 25 years, offers the A/B income group of people a matrix of financial services which are inter-linked and cross-selling. Thus a customer can begin with his/her medical aid and then add to that a variety of insurance products and now, most recently, personal banking products. Discovery's "Vitality" concept, which rewards clients for looking after their health in various ways, is extended to their driving record and a rewards system that ensures that there are attractive benefits for taking the full range of Discovery debit-order products. The Vitality platform tracks over 1000 customer activities and 50 biometrics a minute by using the Apple watch in South Africa, the UK, China, Europe and the US to ensure a process of healthy aging and retirement planning. Discovery's Chinese company, Ping An Health, in which Discovery has a 25% stake, saw membership grow by 60% over the year, and written premiums increased by 87% to $753m. Ping An is rapidly developing into Discovery's "Tencent". Discovery's move into banking offers existing clients a range of banking and credit card facilities. The banking license was approved in November 2017 and should significantly increase the profits being generated by the group in time. This is a disruptive development which will seriously shift the banking of A/B income group consumers away from existing banks. Discovery Bank's aim was to bring in 1000 new accounts per day from the end of August 2019. The company has seen a drop in car accident claims and medical insurance claims since the lockdown. This is a highly rated share despite the decline in its share price over the past two years. Discovery Bank has now reached 489 000 accounts and those clients are mostly of very high quality - but the progress has been relatively slow partly because of the pandemic. Discovery shares remain expensive, but we regard this as one of the best shares for a private investor to hold for long-term growth. CEO, Adrian Gore, says "I am a great believer that opportunities are not in good times" - indicating his belief that growth comes from investing during the difficult times such as South Africa is currently experiencing. Gore has also stated that the NHI, as it is proposed, is unaffordable for South Africa and that there are insufficient medical resources to implement it. Discovery became the first large, listed company to require all its staff to be vaccinated. On 20th June 2022 the bank reported that it had more than 1 million accounts and was taking on about 750 new accounts per day. In its results for the six months to 31st December 2022 the company reported headline earnings per share (HEPS) down 9%, but normalised HEPS up 30%.The company's net asset value (NAV) rose by 10% to 57184c per share. The company said, "... the Group has a stated policy of normalising for the impact of interest rate movements in the presentation of normalised headline earnings. The effect during the reporting period was geared as interest rate movements in the prior period increased headline earnings but decreased them during the current reporting period. This predominantly explains the difference between the 9% decline in headline earnings per share (basic) to 453.6 cents compared with the 30% growth in normalised headline earnings per share (basic) to 570.2 cents". In a trading statement for the year to 30th June 2023 the company estimated that HEPS would rise by between 3% and 8%. The company said, "High levels of engagement in the Vitality Shared-value model, together with the efficacy of the model, underpinned the Group’s performance, despite a challenging and volatile macro-economic environment". Technically, the share has been in a strong upward trend since September 2022. We expect this continue. We see this as a "must have" share for any private investor's portfolio.by PDSnetSA3
DSY: some Fib extensions?A surge in price beyond 15500 serves as a signal of an impending bullish trend. Further support for this bullish trajectory comes if the price vaults above the 16000 marker. A target price has been determined at 16600 which aligns with the 100% Fibonacci projection level. A stop-loss has been carefully positioned at 15000 to curb potential losses (38.2% Fib projection). In addition, the prevailing price action continues to follow an upward sloping linear regression channel pattern, lending further credibility to the anticipated bullish trend.Longby Peet_Serfontein112
Market Neutral: Buy DSY/Sell OUTMarket Neutral: Buy DSY/Sell OUT A pairs traded I added to my research note yesterday morning. I meant to publish it here. Entry (Ratio Level): 4.12 Stop: 4.00 Target: 4.38 For more research insights, including trade ideas, get in touch today. by techpers0
$JSEDSY - Discovery Ltd: Again, Five Waves Almost Complete.The last analysis of Discovery was on 07.04.2023, link below. At that time, I was of the view that wave ((iv)) was complete at 13194 but the correction developed into a larger zigzag labelled (abc) which terminated at 12945, just above the wave ((i)) peak of 12932 thereby not violating the impulse wave rule for 4th wave termination. From 12945 the stock looks to be unfolding in a five wave impulse for wave ((v)) and thus far has traced out wave (i-ii-iii) and the current pullback is for wave (iv) which should terminate above wave (i) providing a buy setup for wave (v). The trend is at a mature stage as after completion of wave ((v)) the expectation is for a pullback in three waves. Longs can be opened when price action gives the signal but this should not be a long-term trade. Using the trend channeling technique, price target for wave (v) is in the 16000 region.Longby Loyiso_BlaqueSoros_Mpeta1
DSY LongJSE:DSY is looking good for a long position. the stochastic and MACD turned upwards a few days ago and now finally the EMAs have crossed upwards, confirming the signal. If it trades higher than it currently is, we will be entered into the trade.Longby RossLarter1
Discovery (DSY) Consolidating in a Bull-flagDiscovery broke out of a falling wedge and is now consolidating in a bull-flag while at the same time working off the oversold conditions. Risk accepting investors have no problem buying at these levels. In the short-term price is expected to go above R132-133 level to confirm trend remains up. The plan is to hold while assessing the JSE Top40 index. When it shows bearish moves to the downside one would want to take profit, alternatively one can target the pole of the flag for taking profit +17% which would be around R146 resistance. Consistently taking profit is good for one’s trading and investing journey. Capital gains in short term will allow exploiting bigger wins later in the journey. Longby runyamhereUpdated 3
DiscoveryJSE:DSY is few Rands away, ~R7, to give all the YTD gains. Hectic, but did you see the JSE:SBK chart? JSE:STXFIN is also moving lower, at a quick pace. The sector is under pressure.by Trend_Trader_JSE0
Discovery - Back for another dipAfter the last post where i cautioned being long on the stock, price pulled back and found support at the 200dma The stock has returned to the same resistance zone and i will be looking for shorts up to R146 with a stop above R148 swing high Initial target will be test of the 200dma again at R135Shortby Trader-Dan2
$JSEDSY - Discovery Ltd: Five Waves Almost Complete, What Now?Discovery did discover some buyers as per the previous analysis, link below. Looking at the move from 10073, it looks like the stock is making its fifth and final move up to complete an impulsive move. Wave(iii) in only 1.236*wave(i) so there is potential for wave(v) to be extended. Longs opened at current prices should use 13194 as a stop-loss level.Longby Loyiso_BlaqueSoros_Mpeta2
Upward Channel ContinuingSeem the break was quick mended, looks to be healthy againLongby TradingMzansi1
Discovery - AnalysisDiscovery has rallied well off its R100 lows from last year October and last week we printed the 1st weekly close below the previous week candle which hasn't happened since the breakout from the beginning of this year. I would be cautious to the long side currently, unless bulls can break R152.70by Trader-Dan1
DISCOVERY LTDDiscovery broker out of the rage a strong move to the upside at play Longby Sbo_Dhlamini2
Will it break through?Discovery seems to be hitting ceiling here, but seems determined to break through. Do you think it has the legs to go higher?Longby TradingMzansi0
Discovery Positive ChannelDiscovery Up nicely but seemed to hit previous resistance and top of positive channel - might see a bit of a pull back firstLongby TradingMzansi0
Strategy Screen: GLN, DSYA Strategy Screen identifies and highlights shares that may potential fit a certain trading setup (for example: 'buying at the rising 50-day EMA'). This screen is geared toward ultra short term/active traders. In addition, the instruments covered assumes no existing positions held by the trader i.e. the next best buying level or next best selling level. For more research including trade ideas, get in touch today.by techpers0