Where possible, I attempt to use more data/automation to find opportunities.
I would also encourage clients to make use of the tools available to provide readings on selected shares.
On Monday, Sappi closed higher by 7.68% and I wanted to check if tactical reading delivered a timeous signal at the recent major turn. Considering the reading at the close on Wednesday 02 August, the reading was as follows: "Reward-to-risk becoming attractive for a small buy/long position". The share closed at 3657c and tested a high of 4142c during yesterday's session. I also wanted to determine if the previous major short term turn also delivered a signal. So, did it? Yes it did. See the chart.
For an enlarged view, click on the arrows in the top right corner of the image.
End of day reading on Thursday 22 June:
End of day reading on Wednesday 02 August:
Are there any shares which provided a similar reading at yesterday's close? Yes.
On the short term time frame: AMS, EXX, IMP and MTN (a high risk share)
On the medium term time frame: AMS, EXX, and IMP.
Please do note, a number of other readings are also available, some of which may point to among others: (1) a share being weak (2) a share being range bound etc.
Our Price Action Tool is available via the telegram group as well as readings via request. It provides automated price analysis of all JSE-listed equities across 3 time frames: short (short term), medium (medium term) and long (long term). To request a reading visit the telegram group and enter the following text, according to your time frame.
/tactical SAP:JSE short
/tactical SAP:JSE medium
/tactical SAP:JSE long
Lester Davids
Analyst: Unum Capital
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