Technical Trade Ideas: Pioneer Foods Group and South 32

Technical Trade Ideas: Pioneer Foods Group and South 32

#1. Pioneer Foods Group (PFG)

PFG is starting to retreat from the downward trend line from the peak in place since 22 January 2018. The candle structure/formation at this level also has a bearish bias with the current level being in line with a declining 50 and 200-day moving average where the price has found resistance. Additionally, the short term upward incline also appears vulnerable to a downside break.

Trade levels:

Sell/Short PFG on a move back above R126
Stop-loss: 128.70
Take Profit Target: R120

#2. South 32 (S32)

I am looking at a potential short/sell trade in miner South 32. In Australia this afternoon the share is printing a reversal candle after adding over 3.5% during the session. This could see the JSE listing boosted in early trade, however, traders should note the “gap” to be filled at 33.98.

Trade Strategy: Should we see the “gap” attempt to be filled in the morning, traders could look to sell/short the share.

Trade levels:

Sell/Short above R33.70
Stop-loss: R35.00
Take Profit Target: R31.70

 

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