CHARTS POST 9

BTC/USD DAILY CHART

BTC is currently trading 53% of its all time high of last year. To say that it has had a phenomenal run since its inception is an understatement to say the least. To try and find some clarity in what is currently going on with BTC we will be having a look at the daily price action.

The one thing that is very clear from the chart is that there is a very strong descending resistance level. This piece of information on its own is almost enough to go by when making a decision too go long on BTC. In my view until there is a clear break of this resistance it would probably be better to sit on the side lines and wait for the confirmed break of the trend-line.

The second piece of information to look at is the ascending support level. To me BTC will only be seriously bearish if the price action confirms a break of the support.

Looking at the stochastic it is apparent that the chart is not yet oversold with no buy zone grouping being shown. Thus the target of $8000 as a test of the support is not unlikely.

I will be not be adding to my position until we have a confirmed break of the resistance level. At this point the target levels are as shown on the graph.

CHARTS POST 8

TKG WEEKLY CHART

TKG is not a share that I normally look at but the current chart is looking very interesting. The price action has been moving through a large megaphone formation and is currently testing the support level. Fridays close of trade saw the share come to test the weekly 200MA level. A break above this level will be a highly bullish signal for the share. Looking at the indicators we can see a bullish buy zone grouping on the stochastics as well as a bullish cross of the RSI and its moving average. A close above the 200MA will confirm the two targets shown on the graph, these being 1) 68.18 and 2) 75.60 - also the 61.8% extension level. The bullish sentiment will remain as long as the megaphone formation support level holds.

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REI WEEKLY CHART

The resent news on nicotine regulations saw the share prince of REI have a pull back to test the all important weekly 200MA level. Looking at the price action now we can see that the 200MA level has held. Looking at the indicators currently they are not yet grouped in the buy zone but are moving strongly towards it. The current standing is looking good for a long position. There are two targets which can be seen on the chart, these being: Target 1: R31.62 and Target 2 R34.21. The target levels will remain as long as the share price action does not break the long term support level. Important to note that this level has been in play since 2012 so it is a very significant support level.

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$ GOLD 

This chart was posted quite a while ago and we will now have a look at the updated price action has done since. Looking at the chart the gold price has not had much significant movement, the price action is now testing the 200MA for the third time. Taking global news into account the situation with the US and North Korea could drive gold as investors flock to a save haven in gold. Technically we need to see a weekly close above the 200MA level as a confirmation for more bullish movement to come. A close above the 200MA will target the two levels depicted in the chart. 

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USD ZAR 

This is a chart that I posted a while ago on the USD/ZAR. After the news on the no confidence vote the ZAR was obviously going to see some weakness international currencies. Looking at the chart the first target set has been reached. When looking at the current situation it is evident that the price action is above the all important 200MA level after Fridays close. Going forward what can we expect when looking at the chart? We are currently at a very significant point in the USD/ZAR history with the price action testing the long term resistance level. A break of this trend line will be set the tone for more ZAR weakness to come. Using the Fibonacci extension levels the next target up is 13.75. This is highly. The target will remain in play as long as the price action remains above the 200MA level. 

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CLS WEEKLY TIME TO SELL?..

CLS has really had an amazing run since April 2016 but now the chart is very overbought. Looking at the chart there are several bearish signals in play. 

1)  The weekly stochastics are heavily grouped in the sell zone. 

2) When looking at the RSI it is evident that there is a sell divergence in play as the RSI tops are refusing to confirm the new share price high. 

3) The actual price action has formed a classic rising wedge formation which is a bearish formation.

4) The price action has also been moving through an Elliot Wave pattern which is depicted by the numbers on the chart. 

All in all this does look like the time to take profits. The vote of no confidence result will also put a strain on the companies importing costs as the ZAR has already weakened considerably. 

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CLS WEEKLY CHART WARNING

CLS has really had an amazing run since April 2016 but now the chart is starting to look very overbought. Looking at the price formation we can see that the weekly candle sticks have been forming a potential rising wedge formation. Adding to this bearish sentiment is the falling RSI tops which are not confirming the new share price high levels. If you are long in this stock keep this in mind a break for the falling wedge support level would be very nasty.

PPC WEEKLY CHART UPDATE

Since the last chart we have seen the price action come to test the weekly 200MA level and bounce off it as a support. When looking at the bigger picture everything is still intact and this one is still looking great. Currently the price action is once again sitting against the resistance level. As with the previous update watch for the confirmed resistance break!! It is also very important to keep in mind the very large gap level still open, which is depicted in the chart

SDASDASD

KIO WEEKLY CHART 

Since February 2016 KIO has gone from one of the worst performers on the JSE to one of the best. The price action has been moving though a relatively narrow ascending channel. However, the picture has taken a turn for multiple reasons. As we can see the ascending channel formation has been broken which is the first bearish sign. The second sing is the break below the all important weekly 200MA. The third bearish sign on the price action is the failure to break above the larger descending resistance level. 

The first target down is shown on the graph at R 112.36. Will only go long again if the price action can break back above the 200MA level. 

CHARTS POST 7

REM WEEKLY PICTURE 

REM is not a share that I have posted about much in the past but the weekly chart is definitely now worth noting. Looking at the chart we can see that the share price movement has now tested a double support level and held. Adding to this we can also see that the price movement has created a double bottom level at R205. Taking the indicators into account we can see that the RSI bottoms are refusing to confirm the lower lows. The current picture is looking like a test of the 200MA is on the cards. 

This level also coincides with the 161.8% extension level with the target at R245.69. The stop on this one is however quite large with the trade only going out of play with a confirmed weekly break of the ascending trend line support. 

BAT WEEKLY PICTURE

BAT is starting to look extremely good we have seen the bounce off the support level and now we are coming ever closer to the all important weekly 200MA level. The indicators are showing that there is still a lot of potential bullish movement on the cards as the RSI is still far off its highs. A break above the 200MA will be the confirmation of this bullish move. The target levels can be seen on the graph. BAT is also a company that I really like with good management and diversified assets. 

Trajectory Algorithm Forecast

I have decided to run the trajectory forecasting model in conjunction with the technical analysis chart when possible for the JSETOP40 or ALL SHARE analysis posts. As detailed in the earlier post on the TOP40 there is a very clear and very large inverse head and shoulders formation brewing (All so on the ALL SHARE). What is apparent is that both are pointing to a similar outlook. In the past when the chart and model align it is a good sign of potential movement to come. Will be interesting to watch this play out.

The Technical Analysis targets can be seen in the graph with the 1st target being the 61.8% extension level at R 48 330 and the second target being the 100% extension level of R49 901

Description of contents

The red line is the actual historical price action for the Top40. The grey line is the trajectory forecasting algorithm's path following the price movement. As the algorithm follows the price numbers it is applying machine learning to analyse the trend and seasonality in the numbers. At the point at which the model is run the algorithm then forecasts 30 periods (in this case days) into the future which is depicted after the actual price action stops.  

Trajectory Algo 

Top 40 Technical Analysis 

JSE NPK WEEKLY UPDATE

JSE NPK still a very good looking chart with the share trading 61% off its all time high! Since the last post the formations target is still waiting to be confirmed as we have still not yet been given a confirmed close outside of the falling wedge formation, the last weekly candle briefly moved outside of the resistance but still closed within the formation. Looking at the indicators the buy confirmation is still in play on the RSI with the increasing RSI bottoms. The stochastics are showing a bullish picture too with a bullish cross on the slow stochastics and a bullish cross between the fast and slow stochastic lines. Still definitely a chart to watch closely, this one could have a very nice run if we can get that confirmed break. The targets are as seen in the graph.

$GOLD DAILY CHART

This post is simply serving as an update on the current dollar gold chart. Looking at the weekly chart we can see that the bullish sentiment is still strongly in play. The price action is still above the all important 200MA level. The bullish targets and their levels are shown on the chart. The targets will remain as long as we dont see a weekly close below the 200MA level. Looking at the indicators the chart is slightly overbought but there is no sell zone grouping just yet. 

TOP40 MASSIVE INVERSE HEAD AND SHOULDERS 

Looking at some of the global indices it is very clear that we have not seen as much bullish movement when compared to something like the SNP500, but what is currently brewing on the Top40 could be a very large bullish move. Price action has been in the process of forming a very large Inverse Head and Shoulders formation since July 2016. The formation has now been completed and price action is above the neckline. The first target up is the 61.8% extension level with far more movement to come if the price action can remain above the neckline level. It is however important to note that the chart is showing to be overbought. Remaining above 47 315 will keep the bullish sentiment in play.

HAR BACK AT IT AGAIN 

The chart shown is the daily chart for Harmony, once again it is starting to look bullish. Looking at the price action we can see that it has pulled back to the established support level. On the RSI bottoms we can see that they are increasing shown a buy confirmation. Looking at the stochastics they are not yet grouped in the buy zone but are approaching it. For the leg up there is a very large open gap shown on the graph which will be the initial target. The next target up is the 61.8% extension level at R35.52

JSE BANKS (J835) WARNING!

Having a look at the JSE banking sector I am still not yet convinced that this sector is out of the firing line. The rising wedge that has been in formation since July 2015 broke to the downside after the recent "Cabinet reshuffle". Looking at the weekly chart we can see that the price action is now above the all important 200MA once again. In technical analysis it is not uncommon for a falling wedge to break to the downside and price action to come back to test the support as a resistance and then continue its movement to complete its target. Looking at the RSI we can see that there is a sell divergence on the RSI tops which is not bullish. All in all I will not be going long on any of the banks at the moment and will wait to see if the index will hold above the 200MA. 

CHARTS POST 6

JSE PPC WEEKLY LOOK

PPC weekly is an interesting looking chart at the moment. Looking the price action the share price has been moving through a descending channel formation. Over the last number of weeks the price action has been forming a flattening base within the descending channel. Looking at the RSI bottoms we can see that they are increasing which is bullish for the share. The descending channel resistance is now once again being tested with the current price above the 200MA. A break of the resistance level will be highly significant for the stock going forward and will confirm bullish movement to come. It is also important to note the very large gap open at R13.70 which will be the longer term target if the resistance level can be broken. This is definitely another stock to watch and hold in a portfolio. 

JSE NPK CHART TO WATCH

NPK is not really a share that I have looked at in the past but the picture is now starting to look very interesting. The share is trading well off its all time high of R49.06. Since July 2015 the weekly price action has been in the process of forming a bullish falling wedge formation. The weekly price action is now re-testing the falling wedge formation's resistance. What is also important to note with this is the very strong buy divergence on the RSI bottoms. This divergence can also be seen on the stochastics. I very much like this picture the long entry will be triggered with a break of the resistance level. The initial targets are shown on the graph but it is very likely that with a confirmed break we could even see a test of R27. This is definitely a chart to watch

$ GOLD WEEKLY 

I have been bullish on gold for a number of months now and am now looking at the chart to check in to see if the picture has changed since it was last looked at. Looking at the longer term weekly chart the picture is still looking very good. Looking at the weekly price action we can see that a break above the weekly 200MA is confirmed. This is highly bullish as this signifies a long term change in trend. The price action since February 2016 has seen the gold price test the top of the falling wedge formation twice with both times holding as a support. 

Using a Fibonacci extension from the last price movement there targets levels are 1 282 which has been reached 1 338 and 1 418. The bullish sentiment will remain as long as the 200ma level holds 

NPN PROFIT TAKING

After the somewhat slow meandering through the horizontal channel the price action broke through the top of the horizontal channel and both targets were reached. Looking at the chart now there is a strong overhead resistance at R2 423. Looking at the daily chart we can see the stochastics grouped in the sell zone. To add to this the RSI is at a high level of 70 with a bearish cross with its moving average. All in all the daily chart is looking overbought and due for a pull back. I have sold my position to take a profit of 12.40%. I am still bullish for the share long term but will sit back and wait for the next entry. 

SOL DAILY PROFIT TAKING

The recent political events have seriously pushed the rand hedge shares up. SOL is no exception to this moving significantly in a matter of a few days. Looking at the daily chart it is now time to take profit on this trade. Although I like the share for the long term the daily picture is looking very overbought. The RSI is currently at 70.71 with a bearish intersection with its moving average. Looking at the stochastic it is showing a similar picture with both stochastics in the sell zone. Profit was taken at the intersection of price action with the second target level. Profit on this trade was 15.15%

JSE INP WEEKLY CHART

INP was one of the shares that was identified to have very bearish looking weekly chart at the start of this year (first post on the 9th of Jan). Since the first post the share has tested the critical resistance declining trend line and failed to break though. This means that the very large weekly Head and Shoulders formation in still in play. The news of Zuma firing 15 ministers one of which our finance minister had a significant effect on our financial sector, taking a massive blow of R85 billion rand. Going forward it seems that the situations negative effect will not be as brief as with the Nene firing with ratings agencies already talking about the SA downgrade. Looking at the chart of INP one of SA's financial stocks it is confirming this sentiment with a strong sell zone grouping on the stochastics and a bearish cross on the RSI. 

There is a gap level open at the 100% Fibonacci extension level with a close of R80.78 which is the first target down before the full Head and Shoulders target level. The target will remain as long as there is no weekly close that breaks the descending resistance level. 

CHARTS POST 5

NPN YEARLY COMMENTARY

If you are someone who follows this blog regularly you will know that I am personally bullish on NPN as I love the space that the business is in and the growth I see in the market in which it operates. This post will not specify the technical chart but will simply look at the trading disparity between the company and other related listings. The first comparison that is looked at is the trading price of NPN locally to its main driver Tencent. What is immediately evident is that in June last year both were trading at the same value when looking at the difference in price percentage. However, looking at the price action of both now there is currently a 34.92% difference in trading price value between Tencent and NPN local. Taking this into account, the current USD/ZAR chart and the NPN chart, the local NPN share is looking very good in my opinion.

USD/ZAR WEEKLY CHART

Today post will not only depict technical analysis of a chart, but also display a lesson that I believe is highly valuable. 

The lesson that I am referring to is predetermined bias. When looking at a technical chart it is sometimes easy to take ones subjective opinion of the share, commodity or index and transfer that to what we are analyzing through technical analysis. This can be a short fall as Technical Analysis itself is used to determine what the price action is saying about what we are analyzing. Applying this to the USD/ZAR is where I fell short. I in my mind looked at the chart with a predetermined bearish bias to the Rand which in turn made me ignore what the chart was saying. 

Looking at the price action the pattern formed could not have been clearer. Descending price action moved into a horizontal channel and broke below the support a classic Technical Analysis pattern that is very easily noticeable. This pattern in my mind was ignored due to my predetermined bias. Another example of a horizontal channel can be seen in the post below with JSE NPN as a bullish set up. This is due to price action moving upward into the horizontal channel. 

Now looking at the chart the two targets are the min and max horizontal channel widths subtracted from the support line.

For those of you following this journey with me I hope that this lesson can help in your trading to first analyse what is being presented as objectively as you can and then apply your own thoughts afterwards. 

NPN DAILY CHART

NPN is another stock that I personally like a lot. The price action of late has been moving through a bullish horizontal channel. The price action is once again above the 200MA a break above the overhead resistance will target the two levels shown in the graph. looking at the indicators they too are confirming this bullish sentiment. 

Having most of the company being made up of its holding in Tencent is for me, very positive. Also the companies exposure to the mobile gaming sector is one that I favor as this is an industry that is growing in double digits year on year. I believe that as technology develops this will continue to grow. The trade will remain bullish with price action above the horizontal channel bottom. 

SNH DAILY CHART

One of the darling shares SNH has hard a hard time since April 2016 coming off from its high of R96.96 to R62.15. However the chart is now looking good for this share once again. Looking at the share price action it is easy to see the massive double bottom that has now formed. Looking at the indicators they too paint a bullish picture with the RSI showing a buy divergence on the RSI bottoms and a bullish cross with its moving average. Looking at the stochastic there is a buy zone grouping and a bullish cross between the fast and slow stochastics. The target levels are given in the chart and will remain long as long as the price action does not break the double bottom level. 

For the investors following this blog SNH is one of those companies that in my opinion is a great one for the portfolio. Only criticism from my part is that the company may pay bit a bit much for its acquisitions, but it almost always sees them to be massive successes. 

STXFIN WEEKLY CHART

For those of you that follow the blog regularly you will know that the local financial sector is not one that I am particularly bullish on. This post serves as an update to the chart posted a few weeks ago. What is evident is that the huge bearish triangle formation is still in play with the strong resistance level holding. Tomorrows budget speech will have a significant impact on weather the index breaks above or below this formation. As long as the weekly candle sticks do not have a close above the resistance line the strong bearish sentiment remains on the financial sector. 

JSE TOP 40 BULLISH PICTURE UPDATE

Since the chart was posted the Top 40 has retested the 45 067 level to form a nice tweezer bottom formation. The index is now once again above the all important 200MA as well as the 50 MA level. The bullish picture stated before is thus still very much in play and the chart is looking good. Looking at the RSI there is a very clear definitive buy confirmation on the RSI bottoms. Looking at the stochastics the picture is also positive with the indicator approaching the buy zone. The target stated before is still in play at 47 105. 

CHARTS POST 4

JSE TOP 40 BULLISH PICTURE

After the pull back in the last couple of trading days the TOP 40 is looking bullish once again. After the formation of Fridays trading candle stick we can see that the price action is now above the all important 200 MA level signifying longer term bullish sentiment. When looking at the indicators they too are confirming this bullish sentiment with a strong buy confirmation on the RSI bottoms and a bullish intersection between the fast and slow stochastics. The target level is the strong resistance level at R 47 105. 

SOL TRADE UPDATE 

For this trade update I am also looking at the current SOL Daily chart for more insight into the trade that was based off the longer term weekly picture. Since the inception of the trade the price action has reached the 1st target level after which SOL announced results that were not very positive. Since then the price action has moved down towards the open gap level between R 389.92 and R 382.96 which has now been closed. The daily candle sticks represent a bullish looking reversal pattern to add to this the daily indicators are grouped in the buy zone with a bullish moving average cross on the RSI. The chart is looking good for some positive movement now to reach the 1st and second target level shown in the daily and weekly charts. 

SOL Daily chart 

looking at the current weekly chart after establishing the daily one, we can see that the price action on the candle sticks has held on the 61.8% extension level. Taking this into account this is possibly a good time to add to your position if you would like to increase your exposure to this stock.

                                                                      SOL Weekly chart  

GOLD WEEKLY CHART

If you have been following this years trade updates then you will know that the JSE gold sector is one that I am very bullish on. This post update will now look at the gold commodity price. On the bigger picture the price action has pulled back to the long term support line and held. In the coming weeks there will be some significant levels that if tested and closed above will add to the bullish sentiment on gold. The first level that I am looking at is movement above the 23.6% retracment level as seen in the chart. This will signify price action movement between this and the 38.2% retracment level. The second level is the all important 200MA level a weekly close above this level will be very bullish and trigger a change in the longer term sentiment.

Looking at the indicators they are confirming this bullish sentiment with the stochastic indicators grouped in the buy zone with a bullish crossover. The same can be seen in the RSI. The two target levels depicted in the chart are 1 330.60 and 1 462.85. The target levels will be confirmed with a close above the 200MA.

SILVER WEEKLY CHART

Silver like gold is another commodity that I am very bullish on. Looking at the weekly chart there is a very clear bull flag being formed. The price action is now testing the resistance of the bull flag. If the price action can break through the resistance level with a weekly close then the target levels seen in the graph will be triggered. The first target level is the weekly 200MA level at 18.75. Thereafter the targets are 19.89 and 21.53. Looking at the indicators they are confirming this bullish sentiment with weekly buy zone groupings on the stochastic and RSI with bullish crossovers.

USD/ZAR WEEKLY CHART

Currently trading roughly 24% off its high the USD/ZAR chart is starting to look bullish once again (ZAR weakness). The chart has managed to pull back to the long term trend line level with a triple bottom. The Bearish ZAR sentiment is also strengthened by the latest announcement of the possibility that Pravin Gordon might be replaced in the coming weeks. The target levels shown in the graph will be triggered with a break of the resistance. If the long term trend line is broken this will negate the target levels shown in the graph. The stop loss for this trade is a close below 13.18. Looking at the RSI there is a clear buy divergence on the RSI bottoms. If the resistance is broken this will be a seriously bullish catalyst for the local gold shares.

JSE STXFIN WEEKLY CHART UPDATE

The bearish picture for the chart still remains as the weekly candle sticks are still moving through the bearish symmetrical triangle setup. Another catalyst to this movement today was the announcement from Zuma which saw the ZAR weaken against all other major currencies putting strain on the financial stocks. I am staying far away form all financial stocks for the time being. A break of the triangle bottom would trigger the 2 targets shown, which will most likely run for the entire year. This is certainly a chart to watch which has the potential to be a good shorting opportunity.

SOL WEEKLY CHART 

The SOL trade is currently 20% up since inception. Although I believe that long term this will be a winner to many times in my trading journey thus far I have not taken profit when the chart depicted that I do so, and lost out. I will be closing the trade for now at a test of the 3rd target or a test of the 200MA level. I will only consider re-entering a long position with a confirmed weekly close above the 200MA level. Looking at the indicators the share is showing to be slightly overbought although not yet grouped in the sell zone.  

SOL - First Chart and comment:

SOL Daily Chart

SOL is looking very bullish with a pull back to the weekly support level that has been in place since August 2014. Both the Daily and weekly charts have the indicators in the buy zone signaling that the share is highly oversold. Targets are shown in the graph and will remain unless there is a weekly close below the support level of R347. The current PE is 8.64 with a forward P/E of 9.13.

JSE STXFIN WEEKLY CHART 

STXFIN is also not painting a bullish picture. Looking at the weekly chart the price movement has been forming a bearish symmetrical triangle formation. Any long positions should be taken with caution. If the price action breaks the triangle support level the outlook will be very bearish with the target levels shown on the graph. The first target level is the 61.8% extension level of R13.15 and the second level is the 100% extension level and parallel line method target level of 11.98.

CHARTS POST 3

JSE INP WEEKLY CHART 

The INP weekly chart is currently painting quite a bearish picture. Looking at the chart the first thing that is immediately apparent is the large weekly head and shoulders formation that has been forming since May 2014, and that its neck line has been broken. Both the 61.8% and 100% extension levels have been reached already with the share trading between the two levels. Looking at the Stochastics they are showing the weekly chart to be approaching the oversold level as they are entering the sell zone, which is not a good sign. On the RSI no higher highs are being made confirming the downward movement. Would not go near a long on this one unless the resistance level on the graph can be broken.

JSE ANG WEEKLY CHART 

The JSE gold shares have really seen some pain in the last while. At the moment all the JSE gold shares are showing a similar very bullish picture and ANG is no exception. The targets can be seen in the graph. The indicators are depicting and very bullish picture with the weekly indicators showing buy zone groupings and bullish crossovers. To add to this the candles have broken above the 200MA level and the support has held. 

JSE TOP40 WEEKLY CHART 

The Top 40 over the past few weeks has been in the process of forming an inverse head and shoulders formation. Fridays strong close has now set up a bullish picture moving forward with a strong close above the neckline level of R44 737 which is also the 61.8% extension level. The break of this neck line sets up two bullish target levels which are R45 568 (100% extension level), and R46 966 which is the 161.8% extension and full inverse head and shoulders level. Although the daily indicators are showing the index to be tending to be slightly overbought looking at the longer term weekly chart it is still showing the index to be oversold. A close above the 200MA will increase the bullish sentiment to the index. 

APN WEEKLY CHART 

APN has seen some significant retracement from its high of R449 currently trading at R283.58 the share is looking bullish. The price action has tested the support level and looks to have held. Looking at the indicators it is apparent that the weekly picture is showing that the share is highly oversold with the stochastic indicators grouped in the buy zone, and the RSI showing a bullish cross with its moving average. The two targets shown are the 61.8% extension level - R320.78 and the 100% extension level and 200MA - R354.12. Sentiment will remain bullish with price action above the support level.

HAR WEEKLY CHART

Gold has seen a significant sell off in the last few weeks which is easy seen when looking at the graph. However, the picture is looking more bullish now. Looking at the weekly chart we can see that the price action broke slightly below the 200MA but has now once again closed above the 200MA. Looking at the weekly indicators they are very much grouped in the buy zone (Both stochastic and RSI). 1st target is R40.17. The bullish sentiment will remain as long as the weekly candles do not see a close below R25.10. 

MTN Daily: Update 

Current Chart and comment:

Trade has worked out great for the short to medium term investors taking profit here might not be a bad thing. The chart below is the daily chart. The share price is now approaching the all important strong resistance level of the 200MA. To add to this the test of the 200MA could also form a double top. I will not push my luck here and take profits. Will only go long again with a confirmed close above the 200MA level. looking at the indicators the stochastics are approaching the sell zone but are not yet grouped. 

First Chart and comment:

JSE MTN Weekly Chart

The weekly share price broke through the bear flag formation and has now reached its target level using the flag width method. Looking at the weekly indicators the share price is also looking very oversold with the weekly stochastics strongly grouped in the buy zone. Looking at the RSI it is evident that there is a buy divergence on the RSI bottoms. Above the level of R105 and the share is looking bullish.

GND Weekly: Update 

Current Chart and comment:

Trade has done great time to lock in a bit of profit with the first target being reached. Looking at the weekly chart the share is approaching overbought territory but still remains positive. In cases like this I dont like to be greedy good profit was made. I will however still leave a bit on the table for the second target level.

First Chart and comment:

JSE GND Weekly chart

Potentially a very strong looking chart. The weekly share price is now testing the strong resistance level that has been in place since March 2015. Looking at the indicators it seems like the writing has been on the wall with this share, with a very strong buy divergence on the RSI tops and bottoms. Looking at the stochastics it paints a similar picture with the stochastics showing bullish intersections. A weekly close above the resistance level of R12.88 will target the levels shown in the graph. The share is also trading at roughly 56% off its all time high.

NPN Weekly: Update 

Unfortunately the stop on this trade was triggered, looking back at is it might have been a bit preempted as the indicators had not yet grouped . However, now the chart is looking very very bullish. With strong weekly groupings in the buy zone on both indicators. Going long once again with the targets seen in the graph. On a weekly chart basis this is the most oversold the share has been since 2011.

First Chart and comment:

JSE NPN Weekly chart

NPN is another share that has seen a significant pull back to its ultra long term trend line. The daily and weekly charts are very oversold with a weekly bullish intersection on the fast stochastic. Will look to go long and remain bullish above a weekly close of R1987. The last 2 candle sticks also depict a classic reversal formation . Targets are as seen in the graph.