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Research Notes For 23 to 27 June > https://www.unum.capital/post/r2327june Trade   Local & Global Financial Markets with Unum Capital. To get started, email   tradingdesk@unum.co.za Executive Summary Taiwan Semiconductor Manufacturing Company (TSMC) is the world's largest and most advanced dedicated semiconductor foundry. It manufactures chips designed by other companies, meaning it doesn't compete with its customers (e.g., Apple, Nvidia, AMD). An investment in TSMC is a bet on the continuation of its technological supremacy and the world's ever-increasing demand for advanced computing power, balanced against significant geopolitical risks and the industry's cyclical nature. The Bull Case: Why Invest in TSMC? The argument for investing in TSMC rests on four key pillars: market dominance, exposure to secular growth trends, stellar financials, and deep customer integration. 1. Unassailable Market Dominance & Technological Moat Market Share:  TSMC is the undisputed leader. It controls over 60% of the total semiconductor foundry market. Critically, its share of the most advanced, high-margin nodes (e.g., 5nm and 3nm) is over 90%. This is a near-monopoly on the technology that powers the world's most sophisticated devices. Technology Leadership:  TSMC is consistently one generation of process technology ahead of its rivals, Samsung and Intel. It is currently ramping up its 3nm node production and is on a clear roadmap to deliver 2nm (N2) technology in 2025. This lead is incredibly difficult to close, as it requires decades of cumulative expertise and massive, sustained capital expenditure. Pure-Play Foundry Model:  By not designing its own branded chips, TSMC has built immense trust with the world's leading fabless semiconductor companies (Apple, Nvidia, AMD, Qualcomm, MediaTek). These companies are willing to share their most confidential designs with TSMC, knowing TSMC will not become a competitor. This creates extremely high switching costs. 2. Riding Powerful Secular Growth Waves TSMC is the essential manufacturing partner for the most significant technological shifts of our time. Artificial Intelligence (AI):  The AI boom is a massive tailwind. Every major AI chip, from Nvidia's H100/B100 GPUs to custom AI accelerators from Google and Amazon, is manufactured by TSMC. Training and running AI models requires an immense amount of cutting-edge computing power, a demand that flows directly to TSMC. Its advanced packaging technology (like CoWoS) is also critical for assembling these complex AI systems and represents another high-margin growth area. High-Performance Computing (HPC):  Data centers, scientific research, and enterprise computing all demand increasingly powerful and efficient processors. AMD's EPYC server chips and other HPC solutions are made at TSMC. Premium Smartphones & 5G:  Apple, its largest customer, relies exclusively on TSMC for the A-series and M-series chips in its iPhones, iPads, and Macs. The move to more complex 5G devices requires more advanced and power-efficient silicon. Automotive & IoT:  While using less advanced nodes today, the trend towards autonomous driving, advanced driver-assistance systems (ADAS), and connected devices represents a long-term, stable growth driver. 3. Exceptional Financial Strength & Profitability Pricing Power:  Due to its technological monopoly on the leading edge, TSMC commands significant pricing power. Customers are willing to pay a premium for the best performance and power efficiency, which directly translates to high margins. High Margins:  The company consistently operates with gross margins above 50% and strong operating margins, a testament to its efficiency and pricing power, even with massive capital outlays. Strong Balance Sheet & Cash Flow:  TSMC maintains a healthy balance sheet with a strong net cash position, allowing it to fund its aggressive expansion plans while returning capital to shareholders. 4. Deep Customer Integration and Ecosystem Sticky Relationships:  The collaboration between a chip designer and a foundry is incredibly deep and complex, often lasting years. Migrating a complex design like an Nvidia GPU or an Apple A-series chip to a new foundry is prohibitively expensive, time-consuming, and risky. The OIP Ecosystem:  TSMC’s Open Innovation Platform (OIP) provides its customers with a comprehensive ecosystem of design tools, intellectual property, and support, further embedding them into TSMC's world and raising switching costs. The Bear Case: Risks & Challenges The risks associated with TSMC are significant and cannot be understated. They are concentrated in geopolitics, industry dynamics, and valuation. 1. Geopolitical Risk: The Elephant in the Room Taiwan-China Tensions:  This is the single greatest risk. TSMC's most advanced manufacturing facilities are located in Taiwan, which China claims as its own territory. Any military conflict, blockade, or invasion would be catastrophic for the company and the global technology supply chain. Warren Buffett famously sold his entire stake in TSMC, citing this geopolitical tension as the primary reason. US-China "Chip War":  TSMC is caught in the middle of the strategic competition between the US and China. US regulations have forced it to stop supplying advanced chips to Chinese companies like Huawei. This tightrope walk could become more difficult, potentially impacting its access to markets or technology. Geographic Concentration:  Despite efforts to diversify, the overwhelming majority of its production, especially on the leading edge, is concentrated in Taiwan, making it vulnerable to natural disasters (earthquakes, droughts) in addition to political risks. 2. High Capital Intensity & Industry Cyclicality Massive Capital Expenditures (CapEx):  Maintaining a technological lead requires staggering investment. TSMC's annual CapEx is often in the range of $30-$40 billion. While necessary, this high spending can pressure free cash flow and carries the risk of overbuilding if future demand doesn't meet projections. Semiconductor Cycles:  The semiconductor industry is historically cyclical. It experiences periods of boom (shortages, high prices) and bust (oversupply, inventory correction, falling prices). While secular trends may dampen this, the risk of a downturn remains, which would impact TSMC's revenue and profitability. 3. Resurgent Competition Intel:  With its IDM 2.0 strategy, Intel is investing heavily to build out its own foundry services and aims to reclaim process technology leadership by 2025. Backed by substantial government support from the US CHIPS Act, Intel is a serious long-term threat. Samsung:  Samsung is TSMC's closest competitor in terms of technology. It is also investing aggressively to win over major customers and close the technology gap. While it has struggled with yields in the past, it remains a formidable competitor. 4. Valuation & Margin Pressure High Expectations:  As of mid-2025, much of the optimism around AI has been priced into the stock, pushing its valuation to historical highs. If growth were to slow or margins were to compress, the stock could be vulnerable to a significant correction. Global Expansion Costs:  Building and operating fabs in the US (Arizona) and Japan is significantly more expensive than in Taiwan. While this diversification is necessary to mitigate geopolitical risk, it will likely exert downward pressure on the company's legendary gross margins. TSM Daily Chart: Multi-Month Consolidation + Re-Emerging Bull Trend Conclusion & Investment Thesis An investment in TSMC  is a high-conviction bet on the "picks and shovels" of the digital revolution. You are buying the world's most critical technology infrastructure company, which is indispensable to nearly every major technology leader. The Bull Thesis:  You believe that the secular growth trends in AI, HPC, and 5G will continue to drive immense demand for leading-edge semiconductors, that TSMC will maintain its technological lead over Intel and Samsung, and that it can successfully navigate the complex geopolitical landscape. The Bear Thesis:  You are concerned that the profound geopolitical risk of a conflict over Taiwan is un-investable, that competition from a resurgent, government-backed Intel could erode margins, or that the semiconductor industry is heading for a cyclical downturn. Ultimately, an investor must weigh the company's unparalleled competitive advantages and growth prospects against the very real and significant geopolitical threat. Analyst Disclosure: The commentary in this report was produced using an A.I Tool. Lester Davids Senior Investment Analyst: Unum Capital

Research Notes For 23 to 27 June > https://www.unum.capital/post/r2327june Trade   Local & Global Financial Markets with Unum Capital. To get started, email   tradingdesk@unum.co.za Weekly Chart Holdings via Latest MDD (30 April) Sector Allocation via Latest MDD (30 April) Previous Post: EEM ETF - A Beneficiary Of U.S. Interest Rate Cuts - Friday, 20 September 2024 Pre-Market U.S. Trading Session / Real-Time (South African; 15h02) With the Federal Reserve cutting interest rates, money could potentially flow out of developed markets, into high yielding EM geographies. In addition, high valuations in the U.S. may be a driver for flows into markets with a lower valuation/rating. The Emerging Markets ETF (EEM) trades at a substantial discount to the S&P 500. Current level: $43.78 Medium Term Target: +$48 Stop-loss/invalidated below: $37 Lester Davids Senior Investment Analyst: Unum Capital

Research Notes For 23 to 27 June > https://www.unum.capital/post/r2327june Trade   Local & Global Financial Markets with Unum Capital. To get started, email   tradingdesk@unum.co.za Previous Post (17 June): Platinum Trades Above $1300, A 4-Year High; Long Term View Unfolding Four months ago (16-February) we discussed the long term setup on Platinum, highlighting the potential for a breached of the downward trend. Over the last few month we have seen outsized moves in the metal, taking it to a 4-year high, crossing above $1300.The original post is shown below. Previous Post (16 February) Platinum: Zooming Out Weekly Chart - Constructive - Potential Change of Trend Lester Davids Senior Investment Analyst: Unum Capital

Research Notes For 23 to 27 June > https://www.unum.capital/post/r2327june Trade   Local & Global Financial Markets with Unum Capital. To get started, email   tradingdesk@unum.co.za Potential re-test of the 8-week EMA at ~2560c to 2625c (provisional buy re-entry range). For now, a poor reward-to-risk for new buys/longs. Overall Trading Considerations: Consistent bullish momentum:  Both the short-term (7-day "Strong") and slightly longer short-term (14-day "Very Bullish") trends are strongly positive, supporting upward price action. Short-term caution:  Despite the clear buying pressure, the model advises against chasing the price. It recommends looking for pullbacks as buying opportunities, indicating that the market may be slightly over-extended on lower time frames. Medium-term aggressive buying:  The medium-term view continues the bullish sentiment but also introduces a two-sided approach, suggesting that a failure to sustain new highs could present a short-selling opportunity. Long-term profit-taking signals:  The long-term outlook remains bullish but provides a specific strategy for short-term traders to capitalize on signs of exhaustion, such as a failure to hold above prior highs. In summary, for Sibanye Stillwater (SSW) , the current view is strongly bullish across all timeframes. However, the consistent message is to be disciplined and avoid chasing the market. Traders should wait for pullbacks to enter long positions, while also being alert to specific counter-trend opportunities if the upward momentum shows signs of failing at key levels. The model points to a general upward trend for the price of SSW. Here's a breakdown of the current price action: The 7-day trend is indicated as "Strong," while the 14-day trend is "Very Bullish." Comparison:  Both the short-term (7-day) and slightly longer short-term (14-day) trends indicate significant upward momentum. This suggests consistent and powerful buying pressure across these timeframes. The "Very Bullish" 14-day trend reinforces the "Strong" 7-day trend, indicating that the recent strength is part of a broader and sustained upward movement. Multi-Time Frame Trading Trading Approach: Short Term (Approximately Next 1 to 10 Trading Days):  The model notes, "Buyers In Control But Weakness On Lower Time Frame-Look For Pullback To 8 or 21-EMA (Buy Range) Before Next Move Higher." Approach:  While buyers are firmly in control, there's a caution about potential short-term exhaustion. The recommended approach is to not chase the price but instead wait for a dip to the 8 or 21-period Exponential Moving Average (EMA). This area is identified as a "buy range" for entering the market in anticipation of the next upward move. Medium Term (Approximately Next 2 to 4 Weeks):  The model indicates "Aggressive Buying Wait For Pullback To Enter Next-Alternatively If The Highs Fail To Hold Then Short Back To The 8 or 21-EMA." Approach:  The medium-term outlook supports aggressive buying, but again, only on pullbacks. It presents two potential scenarios: The primary strategy is to buy on a dip. Alternatively, if the price attempts to make a new high but fails to hold it, a tactical short (sell) position could be initiated, targeting a move back down to the 8 or 21-EMA. Long Term (Approximately Next 5 to 8 Weeks):  The model states, "Aggressive Buying But Do Not Chase-Look For Overshoot or Failure To Hold Prior Session Range Highs To Short-Sell Back To The 8-EMA." Approach:  The long-term strategy continues the "aggressive buying" theme but with a strict warning not to chase extended moves. It provides a specific counter-trend setup for nimble traders: watch for the price to push above the highs of previous sessions and then fail to stay there. This "overshoot and failure" is a signal to initiate a short-sell trade, targeting a quick pullback to the 8-EMA. Previous Post (05 June): SSW Running +105% + Current Model Reading Thus far today, a multi-month high of 2913c Now trading higher by 105%. Current Price Action Model Reading Previous Post: Sibanye Stillwater - Long Term Cycle Ready To Unfold? SSW Monthly Chart - as of Thursday 27 February at 13h13 #EarlyAccess Upper Panel: SSW Relative To JSE Top 40 Index (Weekly Chart) - as of Thursday 27 February at 13h10 Lower Panel: Distance vs 200-Week SMA. The ratio is trading 67% below it's 200-week, which is an extreme disconnect from the long term average. In July we discussed a potential scenario for the share, with the potential path being a drop down to a potential range 1264c to 1353c before a potential rally off the long term channel support. The share dropped to 1400c which was followed by a rally to 2300c. Taking a step back, are we seeing the long term cycle unfolding? The slide below is from report: "Active Trading Plan: Monday 29 July 2024". Related Post: Sibanye Stillwater: Right Reading, Right Time Lester Davids Senior Investment Analyst: Unum Capital

Research Notes For 23 to 27 June > https://www.unum.capital/post/r2327june Trade   Local & Global Financial Markets with Unum Capital. To get started, email   tradingdesk@unum.co.za Recently we highlighted TBS being overbought on 3x time frames. The share then traded slightly higher before retreating. Provisionally, the 21-week EMA between R288 and R295 is a provisional next best probability buy level of interest: Previous Post (26 May) : Tiger Brands: Overbought On 3x Time Frames M = Monthly W = Weekly D = Daily Lester Davids Senior Investment Analyst: Unum Capital

Research Notes For 23 to 27 June > https://www.unum.capital/post/r2327june Trade   Local & Global Financial Markets with Unum Capital. To get started, email   tradingdesk@unum.co.za The JSE Top 40 Index is currently navigating a period of consolidation and potential short-term pullback following a significant rally from its low on 07 April. While the longer-term trend remains firmly upwards, recent price action and technical indicators suggest a temporary loss of momentum as the market unwinds from overbought conditions. According to pre-market data, the index's short-term trend, as indicated by the 8-day Exponential Moving Average (EMA), has shifted to "DOWNWARDS" . This aligns with the observed unwinding from daily and weekly overbought levels and the appearance of distribution candles on 11 June, signaling an increase in selling pressure. The 21-day EMA is currently indicating a "SIDEWAYS"  trend, reinforcing the view of a market in consolidation. This short-term weakness is further contextualized by a 7-day trend described as "Neutral"  and a 14-day trend as "Rangebound" . The immediate outlook, expected to unfold within the next 1 to 10 trading days, points towards a "Steady Upward Trend But Weaker On Lower Time Frame." Traders are advised to look for support at or just below the 50-EMA, followed by a reclaim of this level to trigger a potential rebound. Looking at the medium-term, expected to play out over the next 2 to 4 weeks, the index is seen to be "Consolidating Within an Upward Trend." Should the 8-EMA be decisively breached, the 21-EMA is highlighted as a potential buying range. Despite the current short-term headwinds, the underlying strength of the market is evident in the longer-term moving averages. The 75-day EMA, 200-day Simple Moving Average (SMA), 21-week EMA, and 50-week EMA are all pointing "UPWARDS" . This suggests that the broader bullish trend remains intact. The long-term outlook, anticipated over the next 5 to 8 weeks, indicates that "Buyers In Control But Weakness On Lower Time Frame." The strategy suggests looking for a pullback to the 8 or 21-EMA as a potential "Buy Range" before the index makes its next move higher. In summary, the JSE Top 40 Index is experiencing a classic case of short-term consolidation after a strong upward move. While caution is warranted in the immediate future due to signs of weakness, the long-term bullish structure remains solid, presenting potential buying opportunities on dips for patient investors. Lester Davids Senior Investment Analyst: Unum Capital

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Research Notes For 02 to 06 June > https://www.unum.capital/post/r0206june Trade   Local & Global Financial Markets with Unum Capital. To get started, email   tradingdesk@unum.co.za Overall Trading Considerations Naspers is currently unwinding from overbought conditions following a strong run since Q1. This context is critical for understanding the current price action, which shows signs of a short-term pullback within a broader upward trend. Here's a breakdown of the current price action: The 7-day trend is indicated as "Weak," while the 14-day trend is "Rangebound." Comparison:  The short-term (7-day) trend has turned "Weak," while the slightly longer short-term (14-day) trend has shifted to "Rangebound." This indicates that the strong upward momentum seen previously has stalled. The immediate trend is negative, suggesting profit-taking or a pause in buying pressure, leading the stock into a consolidation or sideways pattern over a two-week period. Potential Trading Approach for Naspers (NPN): Short Term (Approximately Next 1 to 10 Trading Days):  The model notes, "Very Weak Wait Until It Stabilizes On The Lower Time Frame." Approach:  The immediate outlook is weak, and the recommended approach is one of patience. Traders should avoid entering new long positions and wait for the price to show signs of stabilization on lower time frames (e.g., hourly, 4-hour charts). This suggests waiting for the selling pressure to subside and a potential base to form before considering any action. Medium Term (Approximately Next 2 to 4 Weeks):  The model indicates, "Steady Upward Trend But Weaker On Lower Time Frame Look For Support At or Just Below 50-EMA Followed By A Reclaim To Trigger Rebound Buy." Approach:  The underlying medium-term trend remains upward, but it's being challenged by the current short-term weakness. The strategy here is to identify key support levels, specifically at or just below the 50-period Exponential Moving Average (EMA). A "rebound buy" would be triggered if the price finds support at this level and then reclaims it decisively, confirming that buyers are stepping back in. Long Term (Approximately Next 5 to 8 Weeks):  The model states, "Consolidating In An Upward Trend-If 8-EMA Is Breached Then Use The 21-EMA As An Accumulation Range." Approach:  The long-term perspective views the current price action as a consolidation phase within a larger uptrend. This is a constructive outlook. If the shorter-term moving average (8-EMA) is breached (which is likely given the "Weak" 7-day trend), traders should view the area around the 21-EMA as a potential zone for accumulation or adding to long positions, anticipating the resumption of the primary uptrend. Overall Trading Considerations for Naspers (NPN): Short-term weakness vs. longer-term strength:  There is a clear divergence between the immediate bearish sentiment and the underlying medium-to-long-term bullish trend. Patience is key:  The model advises against immediate action, emphasizing the need to wait for price stabilization and confirmation signals. Key support levels:  The 50-EMA (medium term) and 21-EMA (long term) are identified as crucial levels for potential rebound and accumulation opportunities. Buying the dip strategy:  The overall approach is not to sell into weakness but to strategically look for buying opportunities at lower levels once the current pullback shows signs of ending. In summary, for Naspers (NPN) , the current view is that the stock is undergoing a necessary short-term correction within a broader bullish structure. Traders should be patient, avoid chasing the price lower, and look for signs of stabilization at key technical support levels to position for a potential resumption of the upward trend. The model points to a corrective phase within a general upward trend for the price of Naspers (NPN) . Here's a breakdown of the current price action for NASPERS: The 7-day trend  is indicated as "Neutral," while the 14-day trend  is "Rangebound." Comparison: The short-term ( 7-day ) trend is neutral, suggesting a lack of clear directional momentum in the very recent past. The slightly longer short-term ( 14-day ) trend is rangebound, indicating that the price has been fluctuating within a specific high and low without a sustained upward or downward movement. This suggests that while there isn't a strong directional bias in either timeframe, the 14-day  view shows a period of consolidation rather than a clear trend. Potential Trading Approach for NASPERS: [ Short Term ] Expected Time Period To Unfold: Approximately Within The Next 1 to 10 Trading Days : The model notes, "Upward Trend But Has Turned Weaker, However Use Rebounds Into The 8, 21 or 50-EMA As A Potential Sell Short Range." Approach:  While there might have been an upward trend, it's now showing weakness. Consider using bounces up to the 8, 21, or 50-period Exponential Moving Averages (EMAs) as potential opportunities to sell short within the current range. [ Medium Term ] Expected Time Period To Unfold: Approximately Within The Next 2 to 4 Weeks  | Apply Daily/Weekly Moving Averages Where Applicable: The model indicates, "Bullish Momentum Is Slowing On Lower Time Frames-Look For Minor Support On 8, 21 or 50-Day EMA As A Buy Range For A Rebound." Approach:  Bullish momentum is weakening in the shorter timeframes. Look for potential buying opportunities (buy range) around the 8, 21, or 50-day EMAs for a possible rebound. [ Long Term ] Expected Time Period To Unfold: Approximately Within The Next 5 to 8 Weeks  | Apply Weekly Moving Averages & Time Frames (i.e. In Some Cases, Daily): The model states, "Buyers In Control But Weakness On Lower Time Frame-Look For Pullback To 8 or 21-EMA (Buy Range) Before Next Move Higher." Approach:  Buyers are generally in control, but there's short-term weakness. Look for potential pullbacks to the 8 or 21-period EMAs as buying opportunities before the price potentially moves higher. Overall Trading Considerations for NASPERS: Conflicting signals: The short-term is neutral to bearish (looking for shorts on rebounds), while the medium and long terms suggest bullish control but with opportunities to buy on weakness (pullbacks). Short-term strategy: Focus on selling short on bounces within the range. Medium-term strategy: Look for buying opportunities on dips to support levels (EMAs) for a potential rebound. Long-term strategy: Maintain a bullish bias, anticipating buying opportunities on pullbacks before a further upward move. In summary, for NASPERS, the current view suggests a short-term rangebound market with opportunities to sell short on strength, while the medium and long terms lean bullish, favoring buying on weakness. Lester Davids Senior Investment Analyst: Unum Capital

Research Notes For 16 to 20 June > https://www.unum.capital/post/r1620june Trade   Local & Global Financial Markets with Unum Capital. To get started, email   tradingdesk@unum.co.za As of Thursday, 19 June at 13h45 Overall Assessment: Strongly Risk-Off A review of key financial market indicators reveals a clear and widespread "risk-off" sentiment among investors. The prevailing mood is one of caution, characterized by a flight from growth-sensitive assets and a move towards traditional safe havens. Key Market Observations: Global Equities Under Pressure:  Major stock indices across the US, Europe, and South Africa are experiencing a synchronized sell-off. Declines in the S&P 500 (-0.56%), NASDAQ 100 (-0.68%), and Germany's GER30 (-0.65%) indicate a broad-based retreat from equities. Flight to the US Dollar:  The foreign exchange market is marked by a strong US dollar. The dollar has appreciated against a basket of currencies, most notably risk-sensitive ones such as the Australian Dollar (-0.75%) and South African Rand (+0.50%). This signals a move by investors to the perceived safety of the world's primary reserve currency. Commodities Signal Economic Concern:  Commodity market performance reinforces the risk-off narrative. Industrial Metals:  Copper (-0.81%), Platinum (-2.15%), and Silver (-0.99%) are all down, suggesting market concern over future industrial demand and global economic growth. Safe Havens:  Traditional safe-haven Gold is trading modestly higher (+0.16%). Energy Outlier:  UK Oil is a notable exception, with a gain of 1.67%. This is likely driven by specific supply-side factors rather than broad market sentiment. Conclusion: The weight of the evidence from equity, currency, and commodity markets points to a prevailing pessimistic outlook. Investors are actively reducing their exposure to risk and positioning themselves more defensively due to concerns about future economic performance. Lester Davids Senior Investment Analyst: Unum Capital

Research Notes For 16 to 20 June > https://www.unum.capital/post/r1620june Trade   Local & Global Financial Markets with Unum Capital. To get started, email   tradingdesk@unum.co.za Lester Davids Senior Investment Analyst: Unum Capital

Research Notes For 16 to 20 June > https://www.unum.capital/post/r1620june Trade   Local & Global Financial Markets with Unum Capital. To get started, email   tradingdesk@unum.co.za Overall Trading Considerations: Dominant short-term weakness:  Both short and slightly longer short-term trends are negative, signaling continued downward pressure. Patience is key:  The model strongly advises against entering new positions in the short to medium term, emphasizing the need to wait for price stabilization. Long-term conditional opportunity:  A potential buying opportunity may arise in the longer term, but it is strictly conditional on the price finding support at a key technical level (50-EMA) and subsequently showing signs of a rebound. Overall Trading Considerations Here's a breakdown of the current price action for Standard Bank (SBK) : The 7-day trend is indicated as "Weak," while the 14-day trend is "Bearish." Comparison:  The short-term (7-day) weakness is confirmed and intensified by the "Bearish" 14-day trend. This alignment suggests consistent and building downward pressure on the price across these initial timeframes. The recent weakness is part of a broader negative sentiment. Potential Trading Approach Short Term (Approximately Next 1 to 10 Trading Days):  The model notes, "Very Weak Wait Until It Stabilizes On The Lower Time Frame." Approach:  The outlook is explicitly weak. The recommended approach is to take no action and remain on the sidelines. Traders should wait for the price to show clear signs of stabilization on a lower timeframe before considering any new positions. This indicates a high-risk environment for both buyers and sellers. Medium Term (Approximately Next 2 to 4 Weeks):  The model indicates, "Very Weak Wait Until It Stabilizes On The Lower Time Frame." Approach:  The medium-term outlook mirrors the short-term view, suggesting that the period of pronounced weakness is expected to persist. The strategy remains the same: to wait for the price action to consolidate and form a base, signaling that the downward momentum may be subsiding. Long Term (Approximately Next 5 to 8 Weeks):  The model states, "Steady Upward Trend But Weaker On Lower Time Frame Look For Support At Or Just Below 50-EMA Followed By A Reclaim To Trigger Rebound Buy." Approach:  Despite the short-term weakness, the underlying long-term trend is viewed as steadily upward. The current price action is seen as a pullback within that larger trend. The recommended strategy is to watch for the price to find support at or slightly below the 50-period Exponential Moving Average (EMA). A buying opportunity, or a "rebound buy," would only be triggered after the price finds this support and then decisively moves back above ("reclaims") that level. In summary, the current view is bearish for the short to medium term. However, long-term investors should monitor for a potential rebound opportunity off the 50-WEEK EMA after the current period of weakness subsides. The model points to a general downward trend for the share price in the immediate future, with the potential for a long-term reversal at or just below the 50-week EMA . Lester Davids Senior Investment Analyst: Unum Capital

Research Notes For 16 to 20 June > https://www.unum.capital/post/r1620june Trade   Local & Global Financial Markets with Unum Capital. To get started, email   tradingdesk@unum.co.za ARKX is the first actively managed fund that targets the global space exploration and innovation industry. The fund advisor defines space exploration as leading, enabling, or benefitting from technologically enabled products and/or services that occur beyond the surface of the Earth, and innovation as the introduction of a technologically enabled new product or service that the advisor expects to change an industry landscape. Space exploration-related companies include orbital and suborbital aerospace, enabling technologies, and beneficiaries of aerospace activities, such as agriculture, GPS, and imaging. The fund typically holds a concentrated portfolio of 40 to 55 domestic and foreign securities, selected using a proprietary methodology that combines both top down information (economy-wide analysis) and bottom up criteria (fundamental and quantitative metrics for individual firms), along with ESG considerations. What's In The Fund Lester Davids Senior Investment Analyst: Unum Capital