MTN trade ideas
MTN DAILY TIMEFRAME LONGThis stock recently broke out of a descending trendline,and is currently retesting either the trendline itself or a support zone. I am of the opinion that t his stock will resume going up once enough buyers enter the market. Traders can possibly look to enter a long position at the 9 615 level, which rep [resents a support level.
JSE:MTN Selling ClimaxSince the end of August volume has been high on MTN indicating that someone is buying while everyone else is panic selling. Last week was the highest volume since October 2015. Following the Wyckoff logic we expect a Automatic Rally (AR) which will form the upper bounds of a Trading Range (TR). We will then have to watch if this is another redistribution or accumulation.
Pairs Trade Idea: Long MTN/Short Telkom+MTN/-Telkom: Pairs Trade Idea. The pair is at 2006 levels. The weekly chart sees the Relative Strength Index attempting to regain bullish territory. Daily Chart sees a pending break of the 50/20/10 EMA’s while the RSI is also attempting to regain it’s bullish territory.
MTN Group: Resistance Turning Into SupportMTN Group: Zooming out to the daily chart, the share trades just above the resistance level that has been in place since 30 August 2018. What we’re now starting to see is a short term consolidation with the potential for a break of the downward trend line that has been in place since 13 March. At current levels, the price trades just above the 50-day moving average which is turning up as well as above the short term 20-day 'momentum' moving average. In my view there is potential for the share to make a small retracement however traders should monitor a break of the downward trend line as a signal that the medium term momentum is starting to tick higher. On the upside, there is potential for the share to close the ‘gap’ at 10574 as well as test the downward trend line at approximately 10700c.
MTN headed for gap closeJSE:MTN has been trading in a sideways channel since late September 2018. It has now broken out of this channel, having moved up strongly the last few trading days. It is ready for a long position, and the target is the gap close.
Also bear in mind that it could possibly retrace back to the support level and bounce before it goes further up.
support trendline broken, short the network!While MTN saw strong subscriber growth outside SA, it lost 834,000 prepaid customers in South Africa from June to September 2018 and numbers are increasing every month.
The company is losing customers to cheaper pre-paid options
Cellphone data rules are also changing, company cashflow might be at steak
Trend-following momentum short on MTNWe have entered short on JSE:MTN because of 3 factors.
EMA's have crossed downwards
Stochastic has crossed down through the 80
MACD has crossed down
You can also see that it has been in a down trend for a good couple of months, so it is likely that it will continue down.
