Nampak, Africa's leading packaging company, operates across South Africa and ten other African countries. Despite deriving about 60% of its turnover from South Africa, only 36% of its trading profit originates from the country. In contrast, the rest of Africa contributes to 59% of its trading profit from just 31% of turnover, highlighting the significant role its...
Nampak (NPK) is Africa's largest packaging company with interests in South Africa and ten other African countries. About 60% of its turnover comes from South Africa, but only 36% of its trading profit. The rest of Africa accounts for 59% of trading profit and only 31% of turnover. The company also has small interests in the UK and Ireland. It produces four kinds...
Nampak (NPK) is Africa's largest packaging company with interests in South Africa and ten other African countries. About 60% of its turnover comes from South Africa, but only 36% of its trading profit. The rest of Africa accounts for 59% of trading profit and only 31% of turnover. The company also has small interests in the UK and Ireland. It produces four kinds...
Since the last update, the W Formation formed, price broke up.
And the buying commenced again.
It was a long wait, but now it seems like this paper train is ready to run up.
Enough corniness, but we need the momentum to pick up a bit more before the price falls into the range.
I'm happy with this analysis and sound risk level.
7>21 - Bullish
Price>200 -...
A price action below 27700 supports a bearish trend direction.
Increase short exposure for a break below 27200.
The target price is set at 24200 (38.2% Fibonacci retracement level).
The stop-loss price is set at 31000.
Corrected from overbought territory.
Remains a risky trade.
W Formation has formed on Nampak.
The price has broken up and is showing it's reached a bottom and buyers will start piling in here.
Otehr indicators confirm.
7>21 - Bullish
Price>200 - Bullish and it's the first time in MONTHS since we've seen the bull crossover.
RSI>70
Target 1 will be to R494.59
ABOUT THE COMPANY
Packaging Solutions:
Nampak is a...
I will not dwell on the history of Nampak, its certainly had better days both as a company and as a stock.
Before even thinking of taking a punt i highly recommend you you read, in detail, the Trading Statement released on SENS on 2022.12.01 and the subsequent annual results released on 2022.12.05
The company is riddled with debt and its operational ability is an...
We have lost a critical support level on the weekly chart, on what seems to a bearish 'rounded top' chart pattern.
I won't calculate the 'measured objective'; but it may get worse before it gets better!
Fundamentals aside, there was a time where JSE:NPK had promising technicals. Bought the stock and it failed to move up, after months of waiting I had to pull the cord. With the benefit of hindsight, that was a good thing to do. The stock is closing the week below R2/share and on the list of 52 week low stocks.
Below 396 supports a bearish trend.
RSI leaves enough room for the price action to reach lower levels.
Trend strength indicates a trend that is gaining strength. This might support the bearish trend.
200-day simple moving average might major support.
Would like to see downside price momentum supporting the bearish bias.
Remains a low capital allocation trade.
Cup & handle possibly to form within the next few weeks on NPK, with resistance at red lines as shown (50, 100, 200 MA's). We are looking at a breakout the purple line within the next 6 months (R5.00).
Short term to medium term idea.
Ideas posted are my opinion and not to be regarded as trading advice. Trade with care as this is quite a high risk move, should...
Nampak: 9 Weeks, +73%. Take Profits Here - Original Idea Attached (26 July).
As I noted at the time:
An extract from my research note for Monday, 26 July.
Nampak ( NPK , 219c)| NPK trades near the lower boundary of it’s linear regression and in line with it’s 50/61.8% Fibonacci retracement level. Note both the MACD and RSI have developed a bullish divergence...
