Two Shares With Upside Potential

Two Shares With Upside Potential

As I scan the market for trading opportunities, two shares which may be on the verge of a short term bullish reversal, have caught my eye.

Tiger Brands:

For just over six weeks, TBS has traded in a downward channel however the RSI technical indicator has started to flash by breaking through it’s declining overhead resistance. I regard this an as “early signal” for potential price strength. Currently around 20850, the price is extended quite a way below it’s 200-day moving average and could revert to the mean, offering a few points on the upside.

Tigerbrands (TBS)

Live trading chart on Tradingview.com

Trading Plan:

Buy TBS at 20850 or better
Use a stop-loss of 20450c to protect capital
Take profit if we see the share trade near 21700c

Old Mutual:

The group’s share have been battered recently declining from 2200c to a low of 1728c. Now I don’t know if it’s the legal proceedings between the board and CEO that has caused the drop or if it’s just the weakness in equity markets. Technically, the price appears to be finding a bottom having regained the 1753c zone. At current levels, it may be worth a short term buy.

Live chart on Tradingview.com

Trading Plan:

Buy OMU at 1797c or better
Use a stop-loss of 1660c to protect capital
Take profit if we see the share trade near 1980c

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

All the best,

Lester Davids
Unum Trading Desk Analyst

e-mail: clientservices@unum.co.za
Tel: 011 384 2920

Leave a Reply

Your email address will not be published. Required fields are marked *