How To Trade Sasol

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

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• How To Trade Sasol, and

• Recent Opportunities via the Price Action Model

  
  

The share has had a strong rebound off the 09 April lows (5301c) to it's recent high of 8662c. In the process, the 50-day EMA was reclaimed with strong candle structure reflecting strong buying interest. The current two-day retracement (from +8600c to 7900c) appears to be the start of a re-test of the 50-day exponential moving average (which has now started to turn up). For active traders looking for a buy re-entry range, the 50-day EMA (at or just below) is a provisional range. We are marking 6900c to 7300c for now. The 200-day SMA continues to trend down, which could act as a temporary resistance range.

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Recent Opportunities: Time-stamped examples from the price action model.

INTO THE LOWS (04 April): "Aggressive selling underway, however the buy/long reward-to-risk may be attractive".

INTO THE HIGHS (20 & 21 May): "Aggressive buying underway but overbought on the lower time frames. Expect a consolidation or a minor retracement".

Lester Davids

Senior Investment Analyst: Unum Capital