Stocks in play – 30 June 2021

Absa (ABG)

The stock broke out from the cup and handle pattern. It did come back in the last couple of weeks, but it held what was resistance as support. Ending the week slightly above the 200 week EMA.

 

 

Zooming into the daily chart the stock the 50d EMA. If we can get a close above R136.60 I will buy the stock.

 

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African Rainbow Minerals (ARI)

The stock experienced a 30% correction since March. The correction seems to have reached its end. The closed below the 50 week EMA last week and immediately recovered and closed back above the 50 week EMA.

If the stock closed back above the 50d EMA and closed above R269.80. I will buy the stock with a stop just below the past week’s low around R210

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Ab InBev (ANH)

This is looking very nice and ready for a bull run. A combination of rising bottoms and rising tops. Plus an inverse head and shoulders pattern. If we get break the neckline with a closed above R1103.75 It will be buy time for me

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Barloworld (BAW)

Sharp pull back on the stock but holding the 50 day EMA. And what was resistance at R101 stood firm and hasnt been touched since the initial breakout a few weeks ago. If we get a closed above R106.42 I jump back in the trade

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BHP (BHP)

Commodity stocks saw quite a sell off since. BHP was no exception. Since May the stock has been seeing falling bottoms and tops, struggling with the 50d EMA. If we get a close through R431.10, as it would have finally won against the 50d EMA. I will buy with a stop loss at R390.75

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Bidcorp (BID)

There’s a nice round bottom on the stock. There’s a resistance level at R319.75. If we get a close through this price i will buy the stock.

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Capitec Bank (CPI)

The Chart is looking quite bullish. Still playing out the head and shoulders pattern.

The stock was not spared in the recent sell off. Found support at the 50d EMA. If we get a close above R1682.25 I will buy the stock. With a stop loss just below the 50d EMA at R15595.59. On a new high close above R1731.15 I will then add to the position

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Richemont (CFR)

Stock is in a two week consolidation. I’m waiting for a break through R117.40 to add to the position. Volume decreased during this consolidation period. If volume can pick up on the break out. That will add to my conviction on the trade.

Coronation (CML)

The stock sold off sharply after paying a dividend. Went as far as closing below the 200d EMA and staying below it the whole week. There some support/resistance at R48.90. If the stock can win the 200d EMA battle. I have 3 buy spots on the stock. A close above R48.90, a close above R52.33 and lastly a close above R56.18. Trailing my stop behind me of cause, but to start my stop will just below the swing low and 200d EMA at R45.64

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Firstrand (FSR)

Banks technical picture looks quite strong, Firstrand is no exception. We had a nice bullish flag close to the 200d EMA. Now waiting to see how the stock deals with the 50d EMA. If we get a close above R53.87 I will buy with a stop loss at R51.10

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Growthpoint (GRT)

We had a golden cross on the stock a few weeks ago. As the stock seems to lead the recovery of the property stocks. Property stocks were amongst the most hit in the COVID-19 crash. Again took the longest to initiate recovery. I suppose uncertainty around dividends from REITs, in light of the COVID-19 lockdowns impact on the companies. Makes it hard for investors to have conviction in the companies.

After the golden cross the stock rallied and pulled back, each time staying above the 50d EMA forming rising bottoms. I’m waiting for a close above R15, and I’ll add to my position on the stock. This picture may be turned on its head after the President moved us to level 4 lockdown.

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Impala Platinum (IMP)

Saved by the 200d EMA. The stock looked like it was on a free fall. As resources stocks were getting hammered. The stock found some support in the 200d EMA. Add to that a bullish divergence. The stock making lower lows, and the oscillator making a higher low. Now I’m waiting for a close above R250.65 to buy the stock with a stop loss at R220.75

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Kumba Iron Ore (KIO)

Nice bullish divergence pattern on increased volume as the stock holds the 200d EMA support. Now I’m waiting for a close above R638.80 I will buy the stock with a stop loss just below the 200d EMA at R555.90

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