OMU trade ideas
$JSEOMU HOURLYOld Mutual has been trading in this range for more than a month now. The HOURLY stochastic is heading south and nearly in an oversold position. Will the price bounce from here or will it go to test the bottom of the range?
Flag/Pennant breakout on OMUJSE:OMU has formed a flag shape which is a bullish pattern and it has broken out and will most likely continue upwards. I will, however, wait for further confirmation before jumping in.
$JSEOMU - C&H still in play despite the noise (Hourly)$JSEOMU C&H set up still in play bt the squabbles @ Exec levels could disrupt the formation
Looking for 2300 and above to confirm while a close below 1921, I will abandon the idea
Neutral for now
JSE:OMU Old Mutual Markdown after Redistribution After a sharp drop, Old Mutual has been undergoing redistribution. We have now seen all the Wyckoff Phases and a backup (BU) after the breakout to the trading range (TR). So base on the Wyckoff theory the markdown in Phase E is set to start. Watch for a strong downward trend. I had previously analysed this as an accumulation range (see posts below) because it looked to me that there was buying at R20. After breaking the level and now it has BU to this level again and is set to be marked down.
Old Mutual OMU DAILYOld Mutual is looking good, the RSI is pointing upwards and the price is heading up from SUPPORT towards its first DAILY horizontal resistance at around R19.00 after that weekly resistance comes in around R21.00
Old Mutual - Trade IdeaOld Mutual: The group's share have been battered recently declining from 2200c to a low of 1728c. Now I don't know if it's the legal proceedings between the board and CEO that has caused the drop or if it's just the weakness in equity markets. Technically, the price appears to be finding a bottom having regained the 1753c zone. At current levels, it may be worth a short term buy.
Trading Plan:
Buy OMU at 1797c or better
Use a stop-loss of 1660c to protect capital
Take profit if we see the share trade near 1980c
+OMU / - SLM pairI think the JSE:OMU rerating relative to JSE:SLM is overdone and I am looking to enter the pair around 0.2462 with a target of 0.27 (TP1) and 0.275 (TP2). My stop-loss is set at 0.234
OMU - Short on Momentum StratJSE:OMU has broken downwards through an ascending support line. This is confirmed by the crossing of the EMA's as well as the downward direction of the Stochastic and the MACD.
JSE:OMU Old Mutual Markup In Phase D StartingOld Mutual has been in a TR after a big drop in October 2018. We had a spring on high volume and now a test on lower volume indicating that supply has dried up. Looking for the markup in phase D to the top of the TR range. After a consolidation at the top of the TR, I will be watching for a breakout and phase E to start.
OMU Multiple Signals for LongJSE:OMU has broken through a fractal and is continuing upwards with strong momentum.
Along with this, the stochastic and the MACD have both turned up and the EMA's are crossing which are all signals to go long on our trend-following momentum strategy.
Gap to be filledWe've seen Old mutual fall so hard after its first IPO, leaving a market gap that need to be closed, currently we are accumulating, soon to break this and go close the gap
$JSE-OMUJSE:OMU
Trading in well defined range from October last year.
News on Friday about CEO been fired pushed stock out of the range but it quickly recovered and closed inside range.
So far not much to be done. Wait for break of the range.
OLD MUTUAL LIMITED (OMU) DAILY TIMEFRAME SHORTPrice is moving in a range on the daily timeframe, with the support level at 2 120 and a resistance level at 2 370. Though it is possible that price may move further up to close the massive gap on this stock, it is my belief that prices are going to continue further down due to a cluster of orders that are sitting at or above the resistance level. The daily timeframe already shows two bearish candles that have formed indicating the presence (but not the dominance) of sellers. One of the two is actually engulfing previous bullish candles.
Here is my entry for this trade:
Entry: 2 300
Stop Loss: 2 400
Take-profit: 2 120
Risk-Reward: 1:1,80
JSE:OMU Old Mutual Being Accumulated?After a sharp decline with a Selling Climax (SC) Old Mutual has been ranging. Now after some low volume accumulation price has pulled back to the bottom of the trading range also on low volume. The spring off of support has been on good volume and after a test, we can expect a mark up in the Trading Range (TR) in Phase D to the top of the TR. We can then look for the breakout out of the TR.
