FSR trade ideas
FSR - Breaks out of 42 week triangleLooking at the FirstRand, we may derive the following from the weekly chart:
1. A noticeable technical pattern had been formed over the past 40+ weeks.
2. Price is trading outside of the triangle.
3. Note the weekly candle hasn't closed yet.
4. A solid close above 72 should take us back to the 2018 high.
5. As always - maintain your risk management.
Let's see what happens.
Note: The views provided herein do not constitute financial advice.
Firstrand at BIG resistancePlain and simple...the price has bumped its head at this level SIX TIMES now. I am counting on it happening again. Upward momentum is slowing and there is negative divergence creeping in on the RSI now. I'm looking to get short just above R69.00 for a 10% move lower... let's see what happens...
Is Firstrand Ltd about top break out of its sideways channel?Firstrand has traded in a range between R60.00 and R70.00 for almost a year now. Only on a few occasions has it broken out of this sideways channel and, even then, only for a short while.
But, if you look at the MACD, you would notice a bullish divergence has formed. As FSR 's share price kept retracing to R60.00, the MACD continued to make higher lows.
This has me believing FSR might finally be ready to break out of the channel. I would like to enter the trade at a slightly better level. This will give us as few more options to exit should the stock once again find resistance at R70.00.
Action: Place a Limit Order to go LONG with your Limit Price set to R67.00. Set your Stop Loss to R59.50 and your Take Profits to R75.00 and/or R85.00.
Bullish on First Rand Limited, Buy signalBullish kumo breakout on the D1, all ichimoku bullish conditions met (Golden TK cross, green (bullish) Kumo breakout, lagging span above price, clean break through Chikou span A & B. Same conditions met last on 4th December 2017, leading to a 38.24% surge to the ATH of 7725.
Bullish ideas for First Rand Limited, FSR.Bullish kumo breakout on the D1, all ichimoku bullish conditions met (Golden TK cross, green (bullish) Kumo breakout, lagging span above price, clean break through Chikou span A & B. Similar conditions met last on 4th December 2017, leading to a 38.24% surge to the ATH of 7725.
VPVR shows price has moved above, suggesting area high volume activity will form a strong base.
Firstrand is bouncing off resistanceAfter creating a high of R77.25, Firstrand dropped to R55.00 before bouncing back up to just above R70.00 a share. Since then it's traded sideways. It seems to have found resistance in the area between R72.00 and R69.00 while support kicked in somewhere between R62.00 and R59.00.
Over the past few days, the price reached the lower end of the resistance range and immediately began to drop.
The Slow Stochastic indicator has now reached the higher end of oversold territory. I don't believe Firstrand will reach the R71.00 level but instead will continue to fall from here. I will thus be going short.
Action: Place a Limit order to SELL at R68.00 with a Stop Loss set at R71.00. I will aim to take profit at R65.00 and R62.00 respectively.
Margin: 21%
Gearing: 4.76x
Gain: +42.02%
Risk: -21.01%
Firstrand Long-Possible momentum break upwardsFirstrand has building a solid base around the R 60.00 /R 62.00 levels over the medium term.
I'm of the view we may see a short term pull back towards the R 62.00 /R 64.00 levels just as a final test to shake the tree...followed by a rally beyond the R 76.00 levels.
Patient money should keep a close eye on this one!
