Bidvest Group: Strong/Bullish + Technical Probabilities Over 3x Time Frames

Research Notes For 26 to 30 May > https://www.unum.capital/post/r2630may

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Here's a breakdown of the price action for BIDVEST:

• The 7-day trend is indicated as "Strong."

• The 14-day trend is "Bullish."

• Comparison: Both the short-term (7-day) and slightly longer short-term (14-day) trends indicate bullish momentum. The "Strong" reading on the 7-day chart suggests significant buying pressure in the very recent period, which aligns with the broader "Bullish" sentiment over the past two weeks. This suggests a reinforcing upward trend across these shorter timeframes.

  
  

• Potential Trading Approach for Bidvest: Given these readings, a trader might approach Bidvest with the following considerations:

  • Short Term (Approximately Next 1 to 10 Trading Days): The model notes, "In or Commencing Upward Trend However Strongly Consider The Potential Failure To Hold Prior Session Range Highs Which Will Create A Tactical Short-Sell Opportunity."

    • Approach: Acknowledge the ongoing upward trend. Be mindful of potential short-term pullbacks if the price fails to sustain above prior session highs, which could present tactical short opportunities.

  • Medium Term (Approximately Next 2 to 4 Weeks): The model indicates "Attempting A Bullish Reversal Following A Consolidation Phase."

    • Approach: The medium-term view suggests that the current upward movement is likely a bullish reversal following a period of consolidation. This reinforces the bullish sentiment seen in the 7 and 14-day trends and suggests potential for continued upward movement.

  • Long Term (Approximately Next 5 to 8 Weeks): The model states, "Recently Advanced From A Sideways Consolidation. If It Doesn't Hold Prior Session Highs Then Consider Potential For Retracement To Retest The Range Breakout."

    • Approach: The long-term perspective indicates a breakout from a sideways consolidation. While the immediate trend is upward, failure to hold prior session highs could lead to a retracement back to test the breakout level. This suggests being bullish but also aware of potential pullbacks in the longer term.

    
    

  

  
  

• Overall Trading Considerations for Bidvest:

  • Reinforcing bullish momentum: The "Strong" 7-day trend aligning with the "Bullish" 14-day trend and the "Attempting A Bullish Reversal" in the medium term suggests a generally positive outlook.

  • Short-term caution: Be aware of potential tactical short opportunities if prior session highs are not maintained.

  • Long-term perspective: The breakout from consolidation is bullish, but watch for potential retracements if short-term support levels fail.

In summary, for Bidvest, the current view is bullish across the short to medium term, with a long-term outlook that is also bullish following a consolidation breakout, although traders should be aware of potential retracements.

Lester Davids

Senior Investment Analyst: Unum Capital