Stocks in play 10 January 2022

Happy new year. I wish all the best for the year. I hope you achieve all your goals for the year.

The market had a fairly good start to the year particularly the banks and resources stocks. Opportunities seem to be plentiful is a start the year

With that being said. Here is this week’s stocks in play

Absa

Banks started the year quite strong. Absa breaking into a new box after bouncing off the 50 day EMA. Still keeping my stop loss out of traffic monitoring up and down volatility.

Amplats

The stock has been making higher highs and high lows. Seems to be having a tough time with the R1855 resistance after the golden cross. If the stock breaks the R1934 provides a great entry point.

Aspen

The tug of war between buyers and sellers is still going on, though the battle has moved to a slightly higher battle ground. Showing buyers strength. Still waiting for the break above R250 and the R290

British American Tobacco

The stock has been stuck range for a very long time doing nothing to speak off between the R512 and R590. It started the year by breaking the R590 resistance, and came back to test it and held it. I started building a position in the stock. Waiting for the R634 level to start adding to the position

Capitec

Capitec moved to a higher box on Thursday only just. The boxes are quite wide which makes it slightly harder to effectively hide the stop loss. However the banks started the year moving strongly together which is a good sign for a bullish run in all of them. I will be waiting for the R2341 top of the higher box

Dischem

We have an ascending triangle pattern on the stock. Holding the 50 day EMA. Now waiting for the R35.65 top line resistance to break.

Discovery

We have a massive symmetrical triangle breakout at the back of the a weekly golden cross. The target of the pattern takes it back to the R192 highs. Providing plenty opportunities on the long side on the daily chart.

Glencore

The stock broke out from an ascending triangle pattern at the same time breaking to a higher box. It’s now half way through the current box. Now waiting for the break above R86.40 into a higher box

Investec

A worrisome bearish divergence pattern has formed. This could trigger a consolidation with a test back to the 50 day EMA

MTN

An ascending triangle pattern is forming on MTN. I’m waiting for a close above R175 to add to the position.

Northam Platinum

We had a falling wedge breakout around the 50 & 200 day EMAs after making a higher low. It seems resources stocks are bottoming and looking to turn

Pepkor

The stock saw a 20% correction right to the uptrend support and turned. There’s a lurking resistance/support at R23. A break above it provides a good buy signal.

PPC

The stock has been on a nice uptrend. It has been consolidating to around the 50 day EMA. If the stock breaks R583 I will start building a position in the stock

Shoprite

We have an ascending triangle pattern with the topline at R212. Waiting the topline to break to add to the position

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