SAPPI has performed great since it broke above the Symmetrical Triangle,.
The analysis was done in February, it broke above the Apex and since then has rushed to its first target at R56.60.
No ways, is this worth a punt to the short side. We can now expect some sideways chop, possible pattern form and then will provide another buy signal.
What is the...
See link below for previous analysis.
I am now convinced in the breakout due to
1-Increase in volume after breakout.
2-Clear price continuation above the resistance trendline.
Buy the dips.
Sappi has traded strongly recently and has now managed to break the yellow downward trend line. . As such, we could possibly see a retest of the yellow band before moving higher or, price could continue moving upwards in this relatively strong move. Initial target on this move would be around 58.18 and stop loss would be placed on a close below 40.80 or, on a...
See link below for previous analysis
The stock has made a minor breakout from the upper resistance trendline and is currently using it as support.
I am not convinced by this breakout due to:
1-Low volume breakout
2-Weak price momentum after breakout
It's still early days but I will sit on my hands under I get more bullish evidence.
A price action above 4300 supports a bullish trend direction.
Further bullish confirmation for a break above 4700.
The target price is set at 5000.
The stop-loss price is set at 4200.
Remains above the confluence of 200-day and 200-week simple moving averages, supporting a bullish long-term trend.
Sappi (SAP) is a global leader in the manufacturing of paper, dissolving wood pulp (DWP), and paper pulp, supplying products to over 150 countries. DWP, crucial for manufacturing clothing, packaging products, and various other applications, was identified as a future profit generator for Sappi. However, the price of DWP experienced a significant drop until 2021...
Symmetrical Triangle seems to have formed on Sappi.
Now on the contrary of a Symmetrical Triangle being a Continuation pattern, it is possible for a reversal to take place in this instance.
We have the converging of the trendlines where the price has reached an apex. Strong buy divergences and price action to the up.
It's a bit premature to BUY just yet but...
Sappi (SAP) manufactures paper, dissolving wood pulp (DWP) and paper pulp internationally and supplies products in 150 countries. DWP is used to manufacture clothing, packaging products and many other applications. DWP, specialty and packaging products were seen as the profit generator in the future, but until recently, the price of DWP had fallen sharply. Then in...
See link below for previous analysis.
Sappi has found the going tough since peaking at 6348, shedding over 40% of its value.
This bear trend looks to be forming a falling wedge pattern.
Price is still contained within this pattern so I will sit on my hands until we get a clear breakout, hopefully on higher than average volume.
The stock seems to have formed a short-term top (hourly double top).
RSI reached overbought territory and unless bulls can close back above R47.50, a pullback to the rising 20ema is likely.
A Double Top is a bearish pattern that forms after an asset reaches a high price twice with a decline between the two highs. It’s confirmed once the asset’s price falls...
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Over a 2-day period, the share has shifted one level lower, from high bullish momentum to strong. This possibly reflects a slowdown in upward momentum. Also over a 3-day period, sellers have controlled the range between 4685c and 4937c. It's possible that the...
In the Green: Bullish Indicators and the Quest for 56
Sappi (JSE: SAP)
1. Price Formation: The price has broken out from a Reverse Cup and Handle price formation on a daily chart.
2. Moving Averages: The 7-day moving average (MA) is above the 21-day MA, which is a positive sign indicating short-term bullish momentum.
3. 200-day Moving Average is below the...
A price action above 4000 supports a bullish trend direction.
Starting to counter-test some major resistance (now support).
The target price is set at 4400.
The stop-loss price is set at 3900.
It will appear that the 200-week acted as some major support.
Remains a risky trade.
Short Formed M Formation is evident.
This is a normal Double Top but the second one has a lower high than the previous.
This indicates even stronger selling pressure for the company.
With it broken below the neckline, the next price level it can go to is at least R20.000
Other indicators confirm:
21>7 (Bearish)
Price<200 - Bearish
RSI<50 (Lower...
The market is indeed fickle.
The last update on Sappi on 17.05.2023 maintained the bullish outlook as price held above 3937.
I was surprised by the market reaction to a very poor interim results report and the very gloomy fundamental outlook.
Well, it looks like the market has had second thoughts and corrected itself.
The stock has broken below 3937 thus...
On 2023.05.11 Sappi released second quarter & interim results for the period ended March 2023.
The results were bad and the outlook was gloomy.
Salient results half-year:
Sales (13%)
EBITDA excluding special items (21%)
Profit for the period (17%)
The share rallied from 3968 to 4595, up almost 16% over the next three trading days.
The share has pulled back...
Symmetrical Triangle formed on Sappi, the price broke below the apex and the price chose the bias of down.
We had other indicators showing bearishness such us.
200>21>7 - Bearish
RSI<50- Bearish
Target reached at R40.60
The trend is still down and we will need the next formation to form before we decide what to do next.
I'll keep you updated.
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