BOTTOM LINE: AGL has broken out of its long-term bear trend confirmed above 24,905cps
After a near-term pullback and retaining strong support at 24,905cps, AGL surged through pivotal resistance at 29,745cps. With the 3-day RSI coming off a mega-overbought position, a pull-back is underway. After this, another good buying opportunity would be presented through 29,745cps on support retained above 24,905cps, and in this instance, the 35,005cps level could be rapidly tested.
The blue bold trend-line could be tested if selling persists through 24,905cps, but the previous long-term bear trend would be resumed below 21,010cps.
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.