Who knows ?SUZB3 is in an uptrend channel on the monthly chart, specifically at the lower edge of this channel, in a region that would indicate a buy, however, at this position on the 2-hour chart it presents a head and shoulders pattern at the end of a downtrend line. Meanwhile, the RSI shows divergence indicating a reversal to an uptrend.
SUZ trade ideas
Pulp Market Facing Challenging Scenario in Prices and DemandComments on Business
Decrease in demand for printing and writing in Brazil.
Decline in pulp prices and appreciation of the BRL were the main factors reducing adjusted EBITDA.
Increase in expenses.
Decline in pulp sales even with higher demand in China.
KPI Driving Revenue and Earnings
Pulp sales volume and revenue -6% vs. 2Q22.
Paper sales -9% vs. 2Q22.
2Q23 Adjusted EBITDA -38% YoY.
Catalysts
Bad earnings should be a catalyst for the stock price to decline.
Trade Structure
Entry: 10.71
Target: 9.29
Stop: 12.12