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Writer's pictureLester Davids

Data On Duty: Absa and Capitec Bank As Real-Time Examples - Thursday, 27 June 2024

While the tactical trading guide is no longer available to clients as part of my research notes, my colleagues have had continuous access to the full data set, which is e-mailed daily at 7:30pm.


As with any systematic strategy, the question should be: "Did the model provide the right signal and the right time?" In addition, we can also ask: "Was the data an appropriate guide at major turning points?"


Let's have a look at ABG Absa. And, as always, all readings are time-stamped as proof.


The share peaked last week Wednesday 19 June. Here's what the end of day data told us.


SHORT TERM (1 to 10 Trading Days): "Extremely Overbought. Monitor The Lower Time Frames For Early Signs of Weakness For A Pullback To The 8-Day EMA.


MEDIUM TERM (2 to 4 Weeks) "Would Not Enter A Buy/Long Here. The Reward-To-Risk Is Unattractive"


LONG TERM (5 to 8 Weeks) "The General Trend Is Up, However, Look For Failure To Hold The Prior Session's Highs To Initiate A 1 to 2 week Short/Sell Setup"


Absa Group Chart


Let's also have a look at CPI Capitec. And, as always, all readings are time-stamped as proof.


The share peaked last week Wednesday 19 June. Here's what the end of day data told us.


SHORT TERM (1 to 10 Trading Days) "Extremely Overbought. Monitor The Lower Time Frames For Early Signs of Weakness For A Pullback To The 8-Day EMA.


MEDIUM TERM (2 to 4 Weeks) "Would Not Enter A Buy/Long Here. The Reward-To-Risk Is Unattractive"


LONG TERM (5 to 8 Weeks) "The General Trend Is Up, However, Look For Failure To Hold The Prior Session's Highs To Initiate A 1 to 2 week Short/Sell Setup"


Capitec Bank Chart


To trade, or open a new account, contact the Unum Capital Trading Desk:


E-Mail: tradingdesk@unum.co.za | Call: 011 384 2923


Lester Davids

Analyst: Unum Capital

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