Trading Foschini

Research Notes For 02 to 06 June > https://www.unum.capital/post/r0206june

Trade Local & Global Financial Markets with Unum Capital.

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Here's an assessment of the price action model for FOSCHINI:

• 7-Day Trend: Strong

• 14-Day Trend: Bullish

• Comparison: Both the short-term (7-day) and slightly longer short-term (14-day) trends indicate upward momentum ("Strong" and "Bullish" respectively). This suggests a consistent buying pressure across these timeframes. The "Bullish" 14-day trend reinforces the "Strong" 7-day trend, indicating that the recent strength is part of a broader upward movement.

  
  

• Potential Trading Approach for FOSCHINI:

  • 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: While in or commencing an upward trend, strongly consider potential short-sell opportunities if the price fails to hold above the prior session's range highs.

  • Medium Term (Approximately Next 2 to 4 Weeks): The model indicates "Attempting A Bullish Reversal Following A Consolidation Phase". Approach: The medium term suggests that the recent bullish activity is likely an attempt at a bullish reversal following a consolidation phase. This supports a bullish bias over the next few weeks.

  • 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 recent advance from a sideways consolidation. However, if it doesn't hold prior session highs, then consider the potential for a retracement to retest the range breakout.

• Overall Trading Considerations for FOSCHINI:

  • Mixed short-term signals: While indicating an upward trend, there's a strong consideration for potential short-sell opportunities based on failure to hold prior session range highs.

  • Medium-term bullish reversal: The medium term reinforces a bullish sentiment following a consolidation.

  • Long-term breakout with a caveat: The long term shows an advance from consolidation, but highlights the importance of holding prior session highs to avoid a retest of the breakout level.

In summary, for FOSCHINI, the current view presents a potential upward trend in the short term with a significant caveat for tactical shorts, a bullish reversal attempt in the medium term, and a long-term advance from consolidation that needs to hold recent highs.

Lester Davids

Senior Investment Analyst: Unum Capital