Spar has been in a downtrend with price seeking a yearly low point. Now price has done the following:
1. Broken out of downtrend channel
2. Closed above the 30DMA & 200DMA
3. Price seeking to confirm a daily cycle low, favouring 28 February as the day
4. Price action exhibits some traits of stage analysis breakout, high volume to break the 30 week moving average albeit no big base for stage 1
Current price level is a good entry point, with a strict stop-loss at R141.50
1. Broken out of downtrend channel
2. Closed above the 30DMA & 200DMA
3. Price seeking to confirm a daily cycle low, favouring 28 February as the day
4. Price action exhibits some traits of stage analysis breakout, high volume to break the 30 week moving average albeit no big base for stage 1
Current price level is a good entry point, with a strict stop-loss at R141.50
Trade closed: stop reached:
Stop-loss hit signaling a cycle failure.