OMU trade ideas
JSE:OMU Old Mutual Breaking Out?It is an unusual time of year to see this type of volume in the market but it seems 2020 is an unusual year. A number of stocks are showing some volume pushing the price. Old mutual has had two relatively high volume days at the end of last week pushing price higher from a lower volume back up (BU) to a last point of support (LPS). There has been a sign of strength (SOS) on higher volume. We are now looking for a break and markup to occur. Price could reach R20 so there is a good risk-reward for the trade.
OLD MUTUAL - Observation- Im noticing alot of short term double top patterns on our local stocks with overbought stochastics
- It will be interesting to see if bulls can hold off the selling else we likely to cool off and test recent resistance => support zones.
- NO position currently...
-- MANAGE YOUR RISK - -
Disclaimer: All ideas are my opinion and should not be taken as financial advice.
Old Mutual overviewThe share price is currently heading towards the major descending trend line and previous support from a well-structured double-bottom pattern.
For the more risk-aware investors, I'd advise you to place an alert around the 1280 level and await crossing confirmation.
I will also update this idea upon finding more useful/reliable fundamentals.
Goodluck and follow me for more.
OLD Mutual - Long IDEA - After the short from the resistance level of the range, we are taking a long here as a swing trade idea (aggressive entry)
- Entry closer to R10.90 will give a better R:R
Previous trade is in the link below....
-- MANAGE YOUR RISK - -
Disclaimer: All ideas are my opinion and should not be taken as financial advice.