This chart does not need much explanation. Previous resistance turning into support = change of polarity. Watch BHG here as a reversal off this R566-R568 level could turn out to be a nice buy with the opportunity to use a fairly tight stop loss. This is where we also find the 61.8 fib retracement of the most recent swing highs and lows.
Resource are very likely the place to be over the medium term. Satrix Resources which is a basket of the biggest resource stocks on the JSE is bouncing off a massive level of previous long term support which has now become support (Change of Polarity). This is a great area to accumulate for the long term in my opinion. Will be happy to review after a few months...
R521 is evidently horizontal support and the anchored vwap from July 22 lows. It should now attack resistance at R568. Over R568 opens up further upside with a view for new highs
JSE:BHG failure to trade above R606, for now, and the potential lower high at R560 means that the stock is bearish for now. R520 potential support level can still save JSE:BHG , otherwise the stock will continue to trade lower. R520 is a level of interest for short/long.
Inv Cup and Handle (Bearish) formed which the price broke below. Price>200 - Bullish This is conflicting which shows sideways movement. Target R451.27 Low prob trade due to SMC Read below SMC The price is at the moment in an Order Block (Sell Side Liquidity) Look at previous levels of supports (it's all around here at R514.70.) This is where Orders get the long...
Target reached for Billiton from the falling pennant at R598.37 21>7 >200 - This tells us mixed feelings where the price could be moving sideways for the next few weeks. RSI>50 - Still bullish bias Wait for the next setup and breakout.
This is NOT The year for Resources I must say. BHG is showing 3 patterns of downside to come. 1. Inverse Cup and Handle large. 2. Medium Inverse Cup and Handle and 3. Descending Triangle... If it breaches below the neckline (brim level), we can see an easy target to R325.00
I will be targetting the 1.618 Retrace from the Previous Low to High on this short trade.
Fallen Angel - Insider buying Aug-Dec last year from 3 insiders, big %'s. Potential entry here (Currently at 3.55). First target 1 4.93 , 5.47, 6.43. Stop signal 2.61.