Thursday 31 October 2024
Time Published: Pre-Market
The 3rd highest day/level over the short term was on Monday 21 October, followed by Tuesday 22nd and then a print of 33398c on Wednesday, the 23rd. I'd like to illustrate how, as a trader, you are able to use the automated data to assess reward-to-risk and uncover opportunities. I'm not here to pick the top (or bottom) but to rather determine if the model was giving us the right message AROUND the right time. On Monday 21 October, the short term (1 to 10 day) reading was that the share was 'extremely overbought and that traders should monitor for early signs of a weakness for a pullback to the 8-day EMA. On the day (21/10) the share also close in overbought territory as per the Relative Strength Index (RSI). For the medium term (2 to 4 weeks) and long term (5 to 8 weeks), no readings were available. Well done to traders who capitalized on the opportunities to either reduce into strength or short/sell at the time. For now, the 21-day EMA is a next best provisional level of interest for new short term buy/long positions.
Lester Davids
Analyst: Unum Capital
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