Sanlam daily cycle is seeking a half cycle high on day 17, however we note the following:
1. TSI & RSI are putting negative divergence.
2. The RSI is showing overbought and beginning to turn.
3. Switching to the weekly chart we see overbought conditions as well.
Given the above, the earnings report presents a risk to the downside, the cycle would be confirmed to have turned bearish if price goes below the price of R62.08 or the 18 August low, this is a good entry confirmation.
1. TSI & RSI are putting negative divergence.
2. The RSI is showing overbought and beginning to turn.
3. Switching to the weekly chart we see overbought conditions as well.
Given the above, the earnings report presents a risk to the downside, the cycle would be confirmed to have turned bearish if price goes below the price of R62.08 or the 18 August low, this is a good entry confirmation.
Comment:
Despite a brief pullback at earnings, Sanlam seems to want to move higher, however the indicators are overbought up to the weekly chart. The monthly still has some wiggle room.