The chart below highlights the performance of Capitec Bank, which has declined by over 10% since last week's research note where clients were to a pending sell/short.
Included in my note was the following:
1. Weekly Chart highlighting the potential price path.
2. The TTG as of Friday's close.
3. The 7-day Technical Trend Rating shows the share as trading in...
South Africa's biggest micro lender could be hurt by the dollar and global uncertainty around the world since the banks make profit from people paying back loans and putting in deposits, people deposit less when everything in the economy becomes expensive because savings lags when compared to current state of the value of money and the purchasing power people...
We saw Capitec form a W Formation. The price broke above the neckline and then made a fakeout.
Now it will be testing the uptrend support line before further upside to come.
I am bullish cautiously, but we still need the demand levels to pick up.
The target will then be R2,485.00
Capitec Bank Holdings Limited (CPI), with its roots in PSG, has dramatically transformed the South African banking landscape, establishing itself as the largest bank in the country by customer numbers, with over 21.1 million clients. Its innovative approach to banking, characterized by affordable and accessible services, particularly for the previously unbanked...
Sell at current levels or higher. Six Key Drivers: (1) Negative candle structure; (2) Price rejection at multi month swing highs, (3) The development of a small bear flag technical formation; (4) Negative divergence as per the 14-day RSI; (5) Pending print below the 50 level on the 14-day RSI; (6) Price extended versus 200-day SMA. As always, traders could...
See link below for previous analysis.
Capitec's trend has become clearer over the last couple of weeks.
A bottom looks to be in at 132856, a 44% decline from the all time high.
The 13 month bear market unfolded as a double-zigzag (WXY).
Price action looks impulsive from 132856 and if the wave count is correct, the stock is in the early stages of wave 3 so "buy...
Capitec Bank (CPI), now the country's largest bank by customer numbers (21,1m), was launched by PSG, and has been a major disrupter in the South African banking system. It has steadily taken retail market share from the other banks by offering a cheaper and easier solution, especially for the previously unbanked section of our population. The company is adding...
Capitec Bank (CPI), now the country's largest bank by customer numbers (up 14% to 18,1m), was launched by PSG, and has been a major disrupter in the South African banking system. It has steadily taken retail market share from the other banks by offering a cheaper and easier solution, especially for the previously unbanked section of our population. The company is...
We expect a bearish movement as the price retreats from the High Supply area supported by previous resistance, FRVP, and RSI-overbought conditions. Traders should monitor the price action closely for a potential bounce or reversal around the trend support line to identify possible buying opportunities.
Capitec was rejected at the upper resistance, which is near the 200-day moving average, so the region can be read as double resistance. However, to confirm a bearish bias, I will be observing price pulling towards the horizontal support. We want to see price go below R1,793.14. In that case price will trend down into May/June bottom. The lower trendline and 200...
Cup and Handle has formed on Capitec's Daily chart.
We've had a disappointing 12 months with banks and its downside.
And today, the price opened above the Brim Level. This means, the buying and demand is more likely to take the price higher.
Other indicators confirm:
7>21 - Bullish
Price<200 But price is heading to the 200MA
RSI>50
Target R1,853.
SMC
Sell...
A price action above 152200 supports a bullish trend direction.
Enter a long as close to 150000.
However a price action above 160400 might trigger upside potential.
The target price is set at 168300.
The stop-loss price is set at 146800.
Given the sector's weakness, it's no surprise that JSE:CPI chose the downside.
The FX:USDZAR , US regional banks, load-shedding, political uncertainty (South Africa is a political stable country but we choose to entertain the politicised media), add whatever excuse you want but the banks are weak.
CPI has formed a falling wedge pattern over the last 10 days, A close above R1605.00 level will confirm a Long entry
Entry close above : R1605
stop loss : R1563
target : R1670
Risk to reward 1:1.5
Since making an all time high at R2392,73 Capitec stock has been in a strong bear market.
Price action from the peak looks to be forming a large contracting triangle.
Without clear context of the larger Elliott Wave structure, I will treat this triangle as a neutral triangle meaning it can breakout in any direction.
The key levels to watch in the short-term are...
JSE:CPI seems to have topped in April 2022 and has been moving downwards since then. The stock enjoyed support near R1600 twice, the recent rally came to a halt as the price reached the trend line. Also, JSE:CPI is trading below declining moving averages; waiting to see how long the R1600 - R1500 level is going to hold.
Other banks are either declining or...
Cup and Handle formed on Capitec since it broke above the Downtrend.
Now that the price is above the brim level shows strong momentum up.
Indicators also confirm upside
7>21
Price<200 but moving back to it's elastic equilibrium level
RSI>50
Target R2040.00
ABOUT THE COMPANY
Capitec was founded in 2001 and is headquartered in Stellenbosch, South...
