Technical Analysis: 1 April 2019
About the author:
- Author name:
- By Violeta Todorova
- Job title:
- Senior Technical Analyst
- Date posted:
- 01 April 2019, 7:11 AM
Shine Corporate (SHJ) – building a base
The decline from the May 2018 high has lost momentum over the past month and the price has been trading sideways, fluctuating between $0.61 and $0.75. A higher low appears to be forming on the daily chart showing that buying interest is building up. A break above resistance of $0.75 is likely and will confirm that the down trend is over.
The potential upside price target based on the breakout is $0.85.
Lendlease Group (LLC) – improvement in momentum
LLC has been trading in a down trend since August 2018 which now appears to be losing momentum. A higher low appears to be forming on the daily chart showing that buying interest is building up. The RSI turned up from oversold territory suggesting that the price is likely to bounce in the near term.
The first potential upside price target is $14.00. Over the medium term, levels to $15.00 are achievable.
Reliance Worldwide (RWC) – short term bounce
RWC has been trading in a down trend since August 2018 which is still technically intact. The current down swing has retraced to its previous support of $4.18 where initial buying interest is likely to arise. The momentum indicators have reached oversold territory suggesting that the price is likely to bounce soon. The initial upside price target is $4.70. The equal low is the first encouraging sign that the downtrend is losing momentum, however we need to see improvement in momentum before we get confident that the down trend is reversing.
We will keep a close eye on how the price unfolds in the month(s) ahead and provide an update in due course.
Imdex (IMD) – tactical buy
The primary up trend has lost momentum over the past year and the price has been trading sideways, fluctuating between $0.92 and $1.40. The recent downswing has retraced to its key support of $0.92 from where the price bounced strongly on Friday. The RSI and the stochastic indicators have turned positive from oversold territory suggesting that the price is likely to trade higher in the short term.
The potential upside price target is $1.20.
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