Unum Capital Trading Desk Internal Research Note [09-May-2019]

Unum Capital Trading Desk Internal Research Note [09-May-2019]

  Unum Trading Desk Internal Research Chart Link
1.  JSE Top 40: The index continues to retreat from the overhead resistance as well as the 2 std deviation that was previously highlighted. The 2-day candle structure has been bearish with expanded ranges suggesting an increase in volatility while both the RSI and MoM have turned lower. https://www.tradingview.com/x/DIkg1NeI/
2.  Tencent: Medium Term Technical Analysis – A view of the longer term weekly chart sees the price respecting three (3) trend line resistance levels.

 

1. Going back to March 2014

2. The underside of the incline support going back to February 2016, which is also a sharp backtest of the prior breakdown level.

3. The incline support going back to October 2018.

 

It should also be noted that the current breakdown as per the Relative Strength Index (RSI) closely resembles the prior price action of 27-Arpil-2015, 26-September-2016 and 22-January-2018. At current levels, the 40-week/200-day moving average trades at HK$333 which may act as a natural target should the short term weakness persist.    

https://www.tradingview.com/x/nC5dKAXT/
3.  PPC: 19m in shares traded on Tuesday (highest since 14 September 2018). Weekly chart sees bullish divergence on MACD. Would monitor for a break of trend line as further confirmation of strength. Long term ‘trade’.    https://www.tradingview.com/x/MKEBfMdb/
4.  Curro Holdings: Monthly chart view sees MACD pending a bullish crossover while the histogram is forming a positive trend. At the current valuation, it may however be premature to accumulate on a long term basis. Concerns over organic growth, capital expenditure and emigration are some of the key concerns for the private education sector. Technically, what we may see the price making a lower low while the MACD prints a bullish divergence. PE at 42x.    https://www.tradingview.com/x/IQXXNB1w/
5.  Mondi Ltd: The medium term accumulation level for MND is around the swing support zones of approximately 287/291. See daily chart medium a potential scenario.    https://www.tradingview.com/x/UvwJFXIe/
6.  Barloworld: The share has continued to retreat, edging toward my targeted accumulation zone near (below 123/122). Medium term trade with provisional SL of R116 and TP of R138. https://www.tradingview.com/x/gaQsHAlj/
7.  EURJPY: Buy/Long reversal trade near swing support. Monitoring 122.60/75 as an accumulation level.    https://www.tradingview.com/x/cPbZiCCl/
8.  Copper: Weekly chart forming a head and shoulder pattern (-may be impacted by trade concerns). Provisionally, may find long term support around the $2.00/$2.08 as a the commodity potentially goes into a deficit.  https://www.tradingview.com/x/CzEAiWKl/
9.  Iron Ore/Copper Relative Chart: Iron Ore now trading March 2017 swing high vs Copper however may close gap at 36.98 as supply concerns keeps Iron Ore elevated while trade concerns caps Copper’s performance.    https://www.tradingview.com/x/qZl9jxXF/
10.  Stellar Capital Partners: Forming a long term base. Recently broken out of bull flag formation. Price above 40-week MA which is turning higher.   https://www.tradingview.com/x/5qayPMd4/
11.  Pairs Trade Setup: +Old Mutual/-Sanlam: Pending break up of consolidation base formation. RSI in bullish territory with pending break up. Price firming u[ above 20/50 MA cross. https://www.tradingview.com/x/TVbxOI3e/
 

Unum Capital’s Internal Trading Desk Research is a collection of general research, technical and fundamental observations, charts of interest, key technical levels as well as trade ideas that is produced to assists traders on the desk in identifying money-making opportunities. These ideas may be immediately actionable or worth placing on the radar for a potential trade at a future date. Please note that trade ideas (including key levels) are subject to change as new information becomes available and price action changes.  

Please chat to the Unum Capital Trading Desk to take advantage of any trading opportunities.  

e-mail: clientservices@unum.co.za

Tel: 011 384 2923 

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