EMAIL
PRINT
HOME CAREERS CONTACT US LOGIN
Steinhoff International Holdings Ltd: Close Shorts
23 November 2017 | Moxima Gama
 


BOTTOM LINE: SNH confirmed a double-top pattern below 7,750cps in October 2016. It then formed a symmetrical triangle and negatively broke out below 6,215cps, triggering a sell signal.

(Click image to enlarge)image1

Possible scenario:

SNH has reversed a few points away from our target at 5,050cps. With the 3-week RSI attempting to recover from a mega-oversold position, we advise investors to close short positions. However, a reversal below 6,215cps would present another short opportunity.

Alternative scenario:

Gains through 6,215cps would mark a change in bearish sentiment - triggering a neutral long, with the first target situated at 6,950cps. In this case, stay long on continued upside as the next resistance at 7,750cps may well be tested.

banner


Moxima

Moxima Gama
Technical Analyst, Sharenet

Moxima has a B.Comm Finance from the University of South Africa and is a certified Chartered Market Technician Level 2, currently completing Level 3. She has been a technical analyst for 10 years, working for BJM, Noah Financial Innovation and for Standard Bank as part of the Research Team in the Treasury Division of CIB. She now runs her own business, The Money Hub, and consults for Sharenet. Moxima has been rated as one of the top 5 technical analysts in South Africa and outperformed the market during the recent recession. She regularly makes an appearance as a guest on CNBC Africa and writes often for Finweek and Sharenet’s Views.

Read an interview with Moxima, or discover Moxima’s trading insights via Sharenet’s Technical Analysis Newsletter.


Disclaimer:
The information contained in this article is for informational purposes only and must not be regarded as a prospectus for any security, financial product or transaction. It is neither to be construed as financial advice nor to be regarded as a definitive analysis of any financial issue. Investors should consider this research/article as only a single factor in making their investment decision. We recommend you consult a financial planner/advisor to take into account your particular investment objectives, financial situation and individual needs.

Share This Story

Send e-mail to for any enquiries or see Contact Details for phone numbers
Home   •   Terms & conditions   •   PAIA   •   Privacy Policy   •   Security Notice   •   Contact Details
Market Statistics are calculated by Sharenet and are therefore not the official JSE Market Statistics. The calculation/derivation may include underlying JSE data.
© 2017 SHARENET (PTY) Ltd, Cape Town, South Africa