It is shocking to see a stock soaring in an economy plagued with state capture scandals, corruption, uncertainty and all things junk. Notwithstanding the fact that i love South Africa, it is sadly true that most stocks on the JSE stock exchange are in bear market territory. Hence the shock i had when i opened this chart.
I expect prices to move up as they continue the healthy uptrend. The exponential nature of this trend makes it difficult to ride it. It is like trying to jump onto a speeding bullet train. Anyway, i would consider the 8 200 level as a possible support area where buyers can enter into new positions. It is important to note that the price might possibly form a right shoulder to complete a tête et épaules (head and shoulders) pattern, causing the price to plummet towards the trendline. However, the long term bias is still long. I guess the bulls needed a break so to them!
I expect prices to move up as they continue the healthy uptrend. The exponential nature of this trend makes it difficult to ride it. It is like trying to jump onto a speeding bullet train. Anyway, i would consider the 8 200 level as a possible support area where buyers can enter into new positions. It is important to note that the price might possibly form a right shoulder to complete a tête et épaules (head and shoulders) pattern, causing the price to plummet towards the trendline. However, the long term bias is still long. I guess the bulls needed a break so to them!