The stop 40 had a strong run at the end of year. Continuing that move into 2022. There are plenty of opportunities for building. Resources stocks look like they are turning. Banks having a strong start to the year
African Rainbow capital
The stock came back above the 200 day EMA for the first time in a while recently. It came back to retest the 200 day EMA on Friday. If the stock breaks R250 there’s a nice place for a R304 target with a R233 just below Friday’s low and the 200 day EMA.
ABInBev
The stock broke the R2016 resistance following a golden cross. I will start to build up a position in the stock with an initial stop loss at R961.46. Putting on a 1% risk
British American Tobacco
The stock made a new 52 week high coming back above the 200 week EMA for the first time In over a year. The stock has been stuck in a range for a while. I started building up a position. Trailing my top at the minute to R284.07 reducing my risk to -0.35%
BHP Group
The stock finally broke out of the R368 – R590 range with increased volume. The stock in play for a 23% rise in the short term
Bidvest
There is a nice doji candle bouncing off the 50 day EMA. The stock broke the downtrend resistance. However the R191 resistance held. If the stock break can break the R191.50 I will raise my stop loss to just below the doji candle at R286.30
Capitec Bank
We have a bullish setup at the base of the new box. We had doji with a long tail, followed by a bullish engulfing. Closing the week a new high. I raised my stop loss to R1999.29, push the trade to just above break even at +0.33%
Dischem
Nice ascending triangle pattern. The stock making yet another higher low, bouncing off the 50 day EMA. Waiting for break above the R36.65 top-line.
Glencore
The stock moved to a higher box. Looking well poised to break right through to the R88.30 box. If the market goes to the higher box I will Stop loss to R80.80 and add to the to the position
Investec
We have a bullish reversal setup. With a diji candle followed by a bullish engulfing candle, If we get another green close on Monday 17 January, completing 3 white soldiers pattern. If the stock also makes a new high closing through R90.60. I will my stop loss to between R81 – R85 depending on the price action
MTN
The 50 EAM held support. We have a nice ascending triangle pattern building up with a R175 topline. If we break R175 I will raise my stop loss to R162, just below the 50 day EMA. And add to the position
Shoprite
We have a nice triangle pattern with a R212 topline. If the market break this level I will raise my stop loss to R201 and add to the position
Standard Bank
The stock had a strong rally only to be stopped by the R148 resistance. The market shows its tendency to remember prices. If the market breaks this level I will raised my stop loss to to around R142 and add t o the position
Portfolio Summary on 16 January 2022
Capital invested: R10 303.77
Current Balance: R9 890.63 -4%
Current Equity (Balance including paper P&L): R21 014.6 +139.51%
Current P&L : R11 123.97
Equity curve Vs Benchmark (Satrix 40 ETF )
Closed trades statistics and distribution
Open trades statistics and distribution assuming all stops are hit
Thank you for reading and reaching this far. If you have questions or chart requests or want/need someone to bounce ideas off of feel free to drop me an email: njabulo@villagetrader.co.za