JSE:CFR closed above a key MA today, the stock is also above a potential resistance level. The MA is still facing downwards, however, without the indicator, the price action is compelling to initiate a long position.
Potential target and stop levels on the chart.
Richemont (JSE:CFR) Breaking the significant down trending channel which has held price lower since July in a very controlled 'Fashion' (excuse the pun). The level we bounced from is the 50% fib retracement from the May 22 lows and May 23 highs. RSI and MACD has been building divergence for weeks where the indicators made higher lows which was not confirmed by...
JSE:CFR has breached what we consider to be a key MA, however, the stock is still trading above the 200 dMA. The 200 dMA is the next potential support level, we're keeping an eye on $JSE:CFR.
No position.
Inverse C&H has formed on Richemont.
Before the handle formed, it made a Breakaway gap.
This is where the price stopped its current uptrend, broke below where there is liquidity that didn't fill, and then continued down.
Now gaps close 70% of the time, so we could get a spike up before the downside. But that would be for a conservative trader.
Other...
Rising Wedge formed on Richemont with a prior uptrend.
And believe it, it's broken up. This is normally a reversal pattern that breaks down.
However, since the share distribution, the demand has been sky high pushing the price up.
7>21>200
RSI>70
Target R4,142
All the great elements of a rising trend.
Rising Wedge has formed on Daily.
Normally you expect the price to break down as it's generally a bearish pattern.
However, as the trend is up, the wedge is up and the gap is up - signals strong upside.
The price has broken up, and we could get a bit of downside before the next move up.
7>21>200
RSI>70
Target R4,142
FUNDAMENTALS:
It seems like since the...
JSE:CFR reported an 8% increase in sales. In a previous post we mentioned that JSE:CFR was at a 52 week high but we wanted to see a bit of consolidation. There's some consolidation there to tuck in a stop loss when taking a long position.
JSE:CFR has reached a previous resistance level. The run up has been impressive; ideally I would like to see a brief consolidation before a breakout but we gotta respond to price action not to our wishes. Price action pays.
JSE:CFR has tried to retest the recent breakout level. The stock is now attempting to break above the recent high. It can be a decent place to add to en existing position, or to establish one near the breakout level.
Profit target 1 Reached for Richemont at R205.65
There is still a strong Bullish bias, but we'll have to wait for the next pattern to form.
The JSE Santa Claus Rally is premature but we are loving every second of it.
Let's hope it continues after a trying couple of months.
Short formed W Formation
This is where the Right rounding bottom is higher and makes higher lows than left rounding bottom.
The RSI is above 50 and has broken its downtrend.
Target R205.60 to begin with...
Do you agree?
A head and shoulders pattern has formed on JSE:CFR . The neckline is ascended slightly, but I think it has a fair chance of playing out. The target is down at the R89 level.
A double top pattern has formed on JSE:CFR and it looks like it might be continuing downward. If it breaks through the low formed on 20 December 2021, the pattern will be confirmed and I think we could see a move downwards towards the 19000 support level. If it fails to break through the level, we could also see a bounce upwards.
JSE:CFR has been trading sideways in a consolidation area since early Jan and it has really struggled to break through the resistance around 15000. With yesterday's price action it broke out of the top of the "buy-box" and it is looking promising for an upward move. This is a new all-time high, so, with no existing resistance in sight, if it continues upward, I...
An ascending triangle chart pattern has been forming on JSE:CFR since early Jan. It is currently breaking out of the top of the triangle. If it confirms, this could be a good sign for a long position.
JSE:CFR seems to be struggling at a resistance level that it has traded at in August 2018 and November 2017. If it doesn't break through this level and creates lower lows, we can possibly be looking at a short position with a target at the gap from 5 November.
A nice Head & Shoulders pattern has appeared on JSE:CFR and with today's movement, it has broken through the neckline. If it continues to play out and head downwards, we could see a move all the way down to the 9400 level.
