DSM - Oversold. Price target: € 120 - 130We think DSM Koninklijke AEX:DSM is oversold at this point. Possible bounce back to €120.
Long term price target is €130 - €140.
AEX
PostNL approaching key support levels, watch for possible longPostNL stock prices have depreciated fast in the last few years. Declining returns in the postal market, combined with falling letter volumes puts pressure on the capital position of the company. Through 2019 and 2020 major investments are done to make the company more profitable. Logistical warehouses will receive new equipment with more automation technology.
Also the company aims to higher prices of postal services. Still, PostNL is drifting along without any evidence the market conditions and company will improve. So be aware that speculating on this stock is risky. As you can see the stock price is moving in a downward channel and has reached the tremendous low price of €1,49. But at this moment the stock seems undervalued and is approaching a 2013 support-level.
AEX SHORT Based on Major Resistance.AEX SHORT Based on Major Resistance. Last time it broke the Major Resistance (RED) was back in `07. Since then it dropped and had a slow but steady climb back up. If the Major Resistance (RED) gets broken in the next week, expect false breakout and short ones under 576.65 again. Aim for the 1st Target (ORANGE), Support Level at 565.18. Hereafter, continuing down towards 2nd Target (YELLOW). Expect heavy Support here based on multiple hits as Support turned Resistance dating back to Jan `18.
