Trade TFG and other JSE Shares with Unum Capital.
To get started, email lester@unum.co.za
Our call was to consider partially covering short sell positions (previous warning on sector risk).
The bullish reversal is in line with Tuesday morning's pre-market price action model reading.
Scroll down for the original price action model reading.
Lester Davids
Analyst: Unum Capital
Sunday 09-Feb-2025
Previous Post (Tuesday, 04 February): Trading Foschini: Approaching Oversold / Partially Cover Short Positions
Sector warning on 07 January, with TFG declining from R172 to R138.
Now traders should consider partially covering short/sell positions.
The price action model points to to oversold conditions, potential for further decline, however, this may be followed by a base, then a rebound.
Previous Post (Sunday 26 January): Trading: TFG
Short sellers (traders position for a move lower) are benefitting from the share price decline.
TFG is down by 15% from R172, reaching a level just below R146 on Friday (trading update released).
If you are short (have been positioned for a price decline), then consider covering some that position).
The bearish move is in line with our view that the bullish momentum for the Consumer Discretionary sector is waning.
Current Model Reading:
Previous Post (07 January): JSE Consumer Discretionary: Relative To The Top 40, Bullish Momentum Is Waning
Note the bearish MACD crossover and histogram which previously warned around a pullback.
Equally-weighted index includes (TFG, MRP, TRU, WHL)
Lester Davids
Analyst: Unum Capital
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