Published: 24 April 2024
Time: 14h42
SHP SHOPRITE UPDATE: 'NEXT BEST PROBABILITY' BUY RANGE REACHED, FOLLOWED BY STRONG REBOUND.
If you are an active trader, the having a trading plan is crucial. In short, having in mind a next best buy zone and next best zone helps you stay prepared, should the price trade at your pre-determined levels.
These levels are not fixed, as we need to maintain the flexibility to adjust or switch gears in real-time.
If the price reaches these levels, these are the questions that traders can ask themselves:
1. Is the price action improving or deteriorating?
2. Is there evidence of buying/selling interest?
3. Do I need to adjust my levels and wait/re-evaluate?
In recent weeks, SHOPRITE presented us with two opportunities to trade, on both the sell (short) and buy (long) side. This was published in my research notes.
The INSERT on the updated chart shows, the SELL was into R249/252, which was followed by a sharp decline.
The same chart (current) shows the price trading into 22883/23045c (the buy zone), followed by a massive green candle today (up to 24264c).
The volatility and positioning is providing us with opportunities to generate cash flow around core positions.
The daily research is intend to alert you to immediate opportunities and prepare you for pending opportunities.
To trade, contact the Unum Capital Trading Desk:
E-Mail: tradingdesk@unum.co.za
Call: 011 384 2923
Lester Davids
Analyst: Unum Capital
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