EOH Ltd: Could Continue Its Uptrend

15 September 2017 | Moxima Gama
 


BOTTOM LINE: EOH tested the support trendline of its long-term bull trend

(Click image to enlarge)image1

Trade EOH From 0.3%

Possible scenario:

EOH tumbled after encountering major resistance at 18,000cps in October last year. Now trading a few points away from the support trend-line of its long-term bull trend, we expect EOH to bounce there as it has done before.

A positive breakout of its current bear trend would be confirmed above 12,400cps - however, the 3-week RSI would have to simultaneously escape its own bear trend to substantiate the breakout on the price chart. Thereafter, gains to 14,865cps should follow in the near to short-term.

Alternative scenario:

The major support trendline would be breached through the 9,600cps level. A negative breakout would be confirmed below 9,000cps, so in that case, go short. Support at 7,375cps could be rapidly 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. The views and opinions (where expressed) in this article are those of the author and do not necessarily reflect the official policy or position of Sharenet.

Rate This Article

Your feedback is appreciated and helps us improve our content.

AVG RATING: 0

Thank you for helping us improve our content.

Rate This Article

Your feedback is appreciated and helps us improve our content.

AVG RATING: 0

Thank you for helping us improve our content.

Rate This Article

Your feedback is appreciated and helps us improve our content.

AVG RATING: 0

Thank you for helping us improve our content.