Jsenhm
JSE:NHM Northam Platinum Buying PressureWith the platinum price improving there has been strong buying pressure in NHM. We see this with increases in volume on up moves and decrease on pullbacks. However, there has still been significant supply keeping volume high. However, now we see a decline in volume indicating that supply may have dried up. I am now expecting a strong move out of the trading range.
Which Platinum Stocks to ChooseA comparison of the weekly charts of Anglo Platinum, Impala, Northam with their relative strength (RS) to the Top 40 is presented. A 40 Week or 200 Day MA has been put on both the price chart and RS. Anglo Platinum has the strongest momentum and is breaking a longer-term trading range (TR). Lonmin is still very week. Impala has had some recent strength in a wide trading range that potentially could be forming. Northam Platinum seems to be somewhere in the middle of a very long TR. Based on this Anglo Platinum is expected to show continued good strength and will be the stock to catch on the next leg up after a pullback.
