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Unite Group up 22 pointsUnite Group has moved up 22 points since the last post here. A strong move is expected considering that price broke out of a long period of consolidation. Do bear in mind that the £10.00 psychological round number resistance is not too far above which may slow price down. Last week ended with a strong bullish bar and if the momentum continues then the £10.00 round number should not be too much of an issue. Price is bullish across the Monthly, Weekly and Daily timeframes which are clear signs of a bullish stock. We will be waiting for the next breakout to consider a trade. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
LSE:UTGLong
by Sublime_Trading
Evraz Still ClimbingEvraz PLC advances higher yet again, using the 50 daily simple moving average as a ladder. Price has not gone down to test the 200 daily simple moving average which is a good sign of a strong uptrend. It is common for price to use the 50SMA as support in a good uptrend which is what is occurring here. Since the last break of resistance we are seeing more strength and if we see a pullback, there may be a retest of the resistance which was previous support. This support level also coincides with the Previous all-time high set back in January 2012 so may prove to be a hard level to contend with.
LSE:EVRLong
by Sublime_Trading
Evraz Making New All-Time HighsEvraz PLC is now sitting comfortably above the previous all-time high and still looking strong. On the daily chart we want to see price retest the all-time high and use it as support, followed by a breakout which will confirm a continuation of the bull trend. In May/June 2017 price used the Weekly 50 simple moving average as support. Then in November 2017 and February 2018 price used support areas as a springboard to propel it higher. Now that price is making new all-time highs there is not any previous areas of resistance in the way of price. We will have to be wary of round numbers but the next major one is at £10.00 which is some distance away so nothing to worry about for now. When this stock was launched on the stock market in 2011, it declined for a few years and only started the uptrend in February 2016. The uptrend has been going on for 2 years and there is no telling how long it may continue on for. One thing is evident which is that this stock experiences deep pullbacks so it is a trade that will need a lot of patience while it recovers from these pullbacks. We will see if we can get that second breakout if price retests the support level. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
LSE:EVRLong
by Sublime_Trading
Sopheon Still TrendingSopheon PLC has progressed since our last post here where price was at £8.42, and now stands at £9.12 at the time of writing this post. We have highlighted the area of consolidation which was from March 2017 to January 2018. The longer the period of consolidation, the bigger the trend may be that follows a breakout. As this period of consolidation lasted almost a year, we can expect a big trend which is what we are seeing so far. On the Weekly chart shown, we can see there has been mostly bullish bars indicating strength with the buyers and good momentum to the upside. If the momentum continues like this as price approaches the £10.00 round number then it shouldn't cause much problems in stopping/slowing down price. As £10.00 is a strong round number, anything can happen when price meets it so it will be interesting to see what the outcome is. Right now we will be standing aside here and looking for trades if price breaks through £10.00. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
SLong
by Sublime_Trading
Genel Energy Beginning To Trend?Although price was previously in a downtrend Genel Energy is showing signs of heading in an uptrend now. On the Daily chart price is already above the 50 & 200 simple moving averages which gives it a bullish bias. Right now price appears to be fast approaching the Weekly 200 simple moving averages which may act as a strong resistance level. This stock is not yet ready for a trend trade for the above reasons but it is worth adding to the watchlist as there is a lot of potential for a strong trend if we see price break the 200sma. Since March 2017 when the low was made, we are starting to see higher highs and higher lows which is the first and obvious indication of an uptrend and the pullbacks are starting to be smaller in depth which is what we want to see. We will be keeping an eye on this stock and taking action when the time is right. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
LSE:GENLLong
by Sublime_Trading
Burford Capital Nearing A BreakoutBurford Capital is still below the all-time high resistance which we highlighted in our previous post here, but it is still showing signs of potentially breaking out soon. Since price hit the support level in March this year, it has gradually been pulling itself up. If price does not break out soon then we may see it go into a period of consolidation. How long a stock stays in consolidation for is unknown and the best way to trade them is to wait for price to breakout either to the upside or the downside. As price is not too far away from the all-time high we may see a breakout soon and today's bullish bar was fairly big. We will now have to wait until next week to see if the bullish momentum can continue. Once we do get a breakout there will be opportunities to go long for those who have been patiently waiting. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
LSE:BURLong
by Sublime_Trading
Will Elecosoft PLC Cope With The Resistance Zone?Elecosoft PLC created an all-time high in October 2007 at a price of £1.14, then made a low of £0.06p in December 2011 which is a big drop. At the moment price looks strong as it heads up making higher highs and higher lows. Although it looks strong now, the uptrend could find some difficulty advancing any higher at the resistance zone consisting of the £1.00 round number and the all-time high. Elecosoft is a software development company which is performing well at the moment and seeing an increase in volume over the past week. The 50 simple moving average has been used as support on both the Weekly and Daily charts. Price does not show any signs of slowing down and may prove to be stronger than the resistance zone standing in its way. If this proves to be true then we may see price smash through the resistance area then go on to make new all-time highs. Getting into a long trade now would not be the best option here as the upside may be limited, so it may prove to be best to wait for price to clear the resistance zone then the upside will be clear. More updates to follow... Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
LSE:ELCOLong
by Sublime_Trading
Unite Group Making New All-Time HighsUnite Group has been in an uptrend since the end of 2011, experiencing a long period of consolidation from August 2015 to October 2017. During the period of consolidation it would have been best to stand aside until a breakout happened. Consolidations are very difficult to trade and your capital is best used on stocks that are actually trending. Patience here would have paid off because we now have a breakout from the most recent deep pullback and price is looking strong. We need to see price remain above the resistance level and use it as support and opportunities can be looked at if we get another breakout, as this will confirm a continuation of the bull trend. Price is currently making new all-time highs so there is not any previous areas of support/resistance in the way of price. Be alert to a possible breakout soon and keep this stock on the watchlist because it has a history of trending well. If the trend is as strong as the previous ones then there will be opportunities to compound which can multiply potential profits. Compounding is a method of extracting more from a trade in less time and with little effort. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
LSE:UTGLong
by Sublime_Trading
Applegreen Gas Station Sees Stock RallyApplegreen PLC is a fairly new stock, which floated on the London Stock Exchange in June 2015 at a price of £2.96 and has risen consistently ever since to the current price of around £5.72 (at the time of writing this post). The Weekly 50 simple moving average played a part in supporting price as it continued to rise. There was a nice trend from April 2017 to September 2017 which then saw price go into consolidation then break out a couple of weeks ago. Now that price is out of consolidation and staying out, we should see a continuation of the previous trend. Because the stock is only 3 years old, we do not have a lot of data to determine the stock's behaviour but going with the current behaviour we have no reason to believe that the stock will not continue higher. Wait for a breakout on the daily timeframe for opportunities to enter into a trade and all trades should be managed according to your trading plan. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
ALong
by Sublime_Trading
Segro PLC Trending StrongSegro PLC is developing into a nice trend using the 50 simple moving average to help it climb to higher highs. On the Monthly chart (not shown) price made an all-time high of £77.24 in 2007. After that we saw price plummet to a low of £1.50 in 2009. Ever since then, price has been clawing its way back up and appears to be finding some steam and making higher highs and higher lows. Price is above the Weekly & Daily 200 simple moving averages indicating that the bias is bullish. There are no previous areas of support/resistance in the way of price and the only area that may be of concern is the £10.00 psychological resistance zone which is some distance away from price, so nothing to worry about for now. When price is trending well as it currently is, it usually tackles areas of resistance with ease but caution should be taken and stops should be managed accordingly when support/resistance areas are approached. The next pullback followed by a breakout should offer an opportunity to enter a trade. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
LSE:SGROLong
by Sublime_Trading
Computacentre PLC in a Strong UptrendComputacenter has formed a nice trend which has been consistently heading up since 2008. Prior to that price was in a downtrend from 2000 where it made an all-time high at £15.66. This all-time high area may cause problems which may see it cause problems for price to advance higher. But if the trend is strong enough it should eventually break through. Price is above the 200 simple moving averages on both the Weekly & Daily timeframes indicating that the trend is up and price is forming higher highs and highers low. So far this month we are seeing a bullish bar so we just need to see more bullish momentum and we could see price reach the all-time very soon. If trades are taken now then we will have to take into account that price may reverse at the resistance level, so nerves would have to be controlled at that point to manage the trade accordingly. The safest option would be to wait for price to move above the resistance level first before taking trades. Neither option is wrong but the choice is down to the personality of the trader. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
LSE:CCCLong
by Sublime_Trading
Alliance Pharma Showing StrengthAlliance Pharma has a consistent pattern of consolidation followed by breakouts to the upside. The pattern can always change going forward but it is always useful to identify the recent behaviour of a stock. The reason being, if you were to enter a trade in this stock and price just went sideways, it may become tempting to exit the trade early. But by understanding that this stock experiences periods of consolidation, it will help you acknowledge that patience is just needed, as the probability of it breaking out is likely. We are currently seeing momentum to the upside as price broke out of consolidation in December 2017. We may see a period of consolidation soon or price may just continue to trend to the upside. There is nothing wrong with taking a breakout opportunity now but we just have to remember not to worry if the trend decides to go sideways. The £1.00 round number is not too far away which may cause some sort of resistance for price. We shall see if the momentum will continue going forward. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
LSE:APHLong
by Sublime_Trading
Bovis Homes Group is Pulling Back!In my previous post for Bovis Homes Group which you can find here, price had formed an inverted head and shoulders pattern. Price then continued to move in the direction of the uptrend but as is expected, price is now forming a pullback. When price breaks through an area of strong resistance, most of the time price will pull back to retest the previous resistance which turns to support. Price is doing just that and this is why we always wait for the second breakout as price can sometimes drop back below the resistance level and go into consolidation. Right now it appears that price is using the support level to potentially give it momentum to bounce back but a breakout will confirm this. There is never a need to jump into a trade early even if you can potentially get in at a cheaper price. When you wait for breakouts, you confirm the trend direction and end up getting into more profitable trades because the odds become in your favour, which is what you want as a trader. The pullback is small so if we do get a breakout it may happen soon so continue to keep this stock on your watchlist. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
BLong
by Sublime_Trading
Sopheon PLC Trending Hard and FastSopheon is a good example of a nice moving stock. After it broke through consolidation which lasted the for the majority of 2017, it smashed through the resistance level and has not looked back. The Weekly 50 simple moving average played a part in pushing price up as it was used as support along the way. After the consolidation breakout, price has had an impulsive move to the upside with no clear pullback along the way so one may be due soon. If price does continue to move higher then it may struggle with the £10.00 round number as it can act as psychological support/resistance. At the moment we are seeing price moving down slightly after reaching the £9.00 area so we will have to see if the pullback occurs sooner. Remember that pullbacks are good opportunities to enter trades, just as long as they come down to a strong support area. We shall be waiting for opportunities once price breaks through £10.00 as there will be no obstacles in the way after that point and increasing the odds of a profitable trade. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
SLong
by Sublime_Trading
Big Yellow Group Making New HighsBig Yellow Group smashed through the resistance level but may now encounter trouble at the £10.00 psychological round number if it is to advance higher. As you can see on the monthly chart, price is looking strong so far this month as it has produced a large bullish bar which saw it break through resistance. Last month's bar poked its head above the resistance level but didn't manage to close above that level. Seeing that price has managed to remain above the resistance it will be interesting to see is price can close there at the close of the month. This stock does have a history of good trends so we shall have to see if the past trends can repeat itself. The £10.00 round number may try to put a stop to any trend but if the buyers are strong enough then it shouldn't cause too much problems. To be on the safe side it may be worth waiting for price to actually break above the £10.00 round number, that way you can have confirmation that there is strength to the upside in this stock. Let us see how the next few trading days unfold for Big Yellow Group. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
LSE:BYGLong
by Sublime_Trading
NMC Health Hitting SupportNMC Health is at support after breaking out when we posted about it here. We mentioned that there is the $40 round number above which may cause resistance, but price has decided to pull back which is normal after breaking out of consolidation. The resistance level of the consolidation zone has now become support and we have to wait and see which direction price goes next. If price returns back into the consolidation zone then we will have to stand aside from taking any trades. If price bounces off the support level then we can look for a breakout trade. Still bear in mind that the $40 psychological round number is above so the trade will have to be at break even before that point otherwise it may be worth waiting for price to move past that zone then enter a breakout. More updates to follow. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
NLong
by Sublime_Trading
Bovis Homes Group Head and Shoulders FormedFor our last post on Bovis Homes Group which you can find here we had the expected breakout we were waiting for. We mentioned that we were now waiting for a second breakout but price looks like it has other ideas. You may feel that you are missing an opportunity by not taking an initial breakout and seeing price move fast in the direction you were expecting. Not to worry because over the long haul it will pay off as you will avoid getting into trades that have fake breakouts. Seeing price continue to move up is a good thing because it is a sign that the stock has strength to the upside. There will be a pullback at some point because price does not just move in a straight line so we must be ready when the pullback appears to take the next breakout opportunity. Before the move up we can identify an inverted head and shoulders pattern which is a strong sign of a continuation of the bull trend. Price also used the 200 simple moving average so it will be interesting to see how big the trend will be. Remember to add this to your watchlist and take advantage of the next opportunity which may be soon. Any comments or questions, do not hesitate to leave them below. Hit agree if you share our sentiments! Sublime Trading
BLong
by Sublime_Trading