SOLBE1 trade ideas
Sasol pumping to R365.50Inverse Cup and Handle has formed on Sasol.
It's a rare Chart Pattern where an Inverse Head and Shoulders never formed the right shoulder
This means, the momentum to upside is strong and the price does not want to retrace back.
7>21 - Bullish
RSI >50 Bullish
Target R365.50
GENERAL INFO
Sasol (founded in 1950 in JHB) is a large South African multinational energy and chemical company which operates in more than 30 countries.
It is also one of the world's largest producers of synthetic fuel from coal and its main products include liquid fuels, chemicals, and low-carbon electricity.
The company is involved in the exploration, production, processing, and marketing of natural gas and oil.
P/E rerating by end of 2023Long story short - the market will likely rerate the earnings multiple upwards as oil continues to remain elevated. Do keep in mind that the GOAT is buying chevron and occidental. The cash flow here is going to continue to impress and in a difficult global environment it will suddenly attract capital , causing that multiple to inflate towards the 2 digit mark.
SASOL - Trailed out After reaching a low of R256.44 , price printed a reversal and has trailed out the remaining position on the short.
Sasol is back at the key resistance zone around R323 and the 200dma . I will be watching to see how price action develops around here to see whether another short opportunity will present itself or if a breakout occurs.
NB: Stock has been upgraded / punted of late by various analysts.
Sasol, bullish?JSE:SOL pierced through the 200MA with decent volume. Bullish? The MA is still declining.
SASOLSasol didn't get to my 230 'short' as per my previous analysis. Very overbought on the RSI now, and could potentially retrace. It's now facing resistance ahead, in the form of the horizontal resistance as well the 200dma just above it.
SOLFrom this morning's research note to clients.
SOL | Buy dips 278-280c. Note the 7-day RSI is 70 (‘Strong’ but nearing the ‘Approaching Overbought’ range. Could rally to 295 at which it could be in the ‘Approaching Overbought’ range. This is also in line with the downward trend line connecting the peaks from 14-October.
'This note is geared toward ultra short term/active traders. In addition, the instruments covered assumes no existing positions held by the trader i.e. the next best buying level or next best selling level .'
IS the low in on SasolWe have a nice bullish divergence Pattern on the Sasol and a break back above a prior support level. The price breaking through the 50 day EMA.
The oil price will have a say in this but the chart looks quite bullish
SOL: some swing upside potential?A bullish trend seems applicable.
Ideal long entry around 27200.
Increase exposure around 29400.
Target at 328000 (just below its 200-day simple moving average)
Stop-loss at 26100.
A complex Elliott wave pattern is busy developing (see the red A B C D and E as well as the blue W X Y).
Time exit: +/- 17 March 2023
Technical rating: medium
Pushing against downward ChannelSeems like Sasol is wanting to break out of its downward channel, been a hard call considering international factors. Could be set for step up. Do you think it has the legs to do it?
Sasol 52 week lowJSE:SOL has printed a new 52 week low. R248-ish is still possible if the stock continue to weaken. No position.
SASOLSasol still looks like a short to me with a 230 price target written all over it.
*Attached is the original idea.
SASOL - Swing trade (BUY)It seems that SASOL is ripe for a turn higher.
Today (Dec 6th) price turned in a BUY zone between R267 - R273.
As long as price remains above R265 the trade remains valid for a retest of R330 as T1 (15-18% profit)
Target 2 longer term is R370 (30% profit)
TRADE STRATEGY
Aggressive entry - Buy the open price of SOL on Dec 7th or around R280
Conservative entry - wait for retest of price below R275
STOP LOSS - below R265 (5-6%)
BRENT CRUDE OIL
Possible turn today @ $80 for run higher which also bodes well for the Sasol analysis
SasolA wise man said "remember who drew the lines". Based on these lines, JSE:SOL doesn't seem to be in good shape. I hope it's just badly drawn lines.
Sasol is continuing to tank further to R225.43Bear Rectangle is forming on Sasol as it previous did a few months ago. There are bearish signals as the downtrend is continuing.
The 200 > 21 >7 MA which once the price breaks below R277.95 we will have our next target at R225.43.
This confirms with the ongoing drop in oil price...
Sasol closes the gapSasol initially managed to find some support around R280.85 - then a strong day on Friday saw Sasol close the gap higher up and simultaneously break it downtrend. It now faces resistance at its 50DMA (R311.18) but should it rally from here and close above R320 or so, we could see Sasol run up further to its 200DMA (R350). Stop loss on a close below R280.
Sasol, a bit of resistanceJSE:SOL is now trading on a declining 200MA, the stock met resistance at the 200MA. TVC:UKOIL , if JSE:SOL has any relationship with it, is also trading below a declining 50MA. Negative setup.
Sasol (SOL): Bearish Trend ContinuationSasol price has gone below the price of 30 September signaling that more downside is coming restricted by the upper green trendline. Ideally price should reach the orange circle before where shorts can be closed and go long.
Price closing the week above the resistance green trendline will be the stop loss.
SASOL - Big move down- This trade is in play at the moment and the move yesterday adds conviction to the plan.
Any pull backs towards R310 will give opportunity to add to or open a position.
Original link below
Sasol tanking to R212Inv C&H formed a while ago.
We went short when the Rectangle Pattern broke down and banked a profit.
But now that the price is staying in the downchannel, tells us there is more downside to come.
EXTRAS:
Price < 200MA
Bear channel
Target 2 - R212.25
SOL bears in full controlSasol bulls have struggled to get the price sustained above the R320.00 ( which is also the 1 year moving average) level in the last 2 weeks, today -10% drop is the result of their exhaustion.
Bears are still in full control and eyeing the R250 level as a next possible support zone.
Sasol resistanceJSE:SOL struggled to move past the 50 MA, the stock in now back at the recent rally point. If JSE:SOL break below R280, R250 could be the next potential support level.
