Could this be a turnaround for Telkom?It appears the long downtrend was broken and retested, hoping for a recovery. Disclaimer: The views provided herein do not constitute financial advice. Please feel free to comment, critique or add to my view, I welcome feedback, whether it agrees with my views or not. This idea is based on my strategy, please consider your own before using it in any way. Always use a stop-loss and manage risk.Longby TradingMzansi119
$JSETKG - Forming a raising triangleWould like to see Telkom close above R26 on the daily to confirm a long trade. Fundamentally cheap. Longby Trad3r_16229
TKG testing LTRTKG is bouncing on LTR a break is a significant move up but expected pullback is more in line with my analises even further consolidation is more likelyShortby surecanweight227
Telkom (TKG) - testing key resistanceTelkom almost closed today on key resistance of 2112. Sellers tried to push it below the 20 day EMA but failed. Will have to see if it can break resistance this week especially the 50 day EMA at 2177. It tried to break through the 50 day EMA on 15 April but sellers pushed it down through the 20 day EMA. Once we clear 2177 convincingly, it will afford a buying opportunity with next resistance at 2458, 2580 and then 3185. My analysis should not be construed as financial advise. Share trading is risky and unpredictable at best. I'm just sharing what I see. Longby StarChaser7411
Telkom -This is not a financial advice, Manage your risk according This chart is really starting to get interesting. On the Weekly the price crossed 10MA for the first time since July '19. The R18.00 is acting as a solid support. Daily 10 and 20 MA crossed. safe play would be to wait for the R21.50 to flip support. Target would be R25 and R29 Stop loss : Close below R17.19 on the daily #TELKOM #JSE #JSETKG #TKG Follow me on twitter (mainly Crypto and MEME) @Muazcoin Longby muazcoin5
TKG 1hr up from supportTelkom 1hr chart shows support at 18.50 with overhead resistance coming in at 22.50 and 26.50by UnknownUnicorn34680178
Telkom [TKG]Data and Fibre to Home Access is booming, mobile and data telecom players are expanding capacity to stay ahead of demand and govt is rolling out emergency spectrum to cope with staggering demand during the WFH / Lockdown period. This should reflect in the price, yet its very sold off. I like TKG for a bounce, entry around 2000cps and first target of 2300cps followed by 2500cps for the brave. Good luck.Longby JoeCamel_SA10
Telkom Telkom TKG 2971 - finding support on the 5-year trend line , with bullish RSI divergence Longby LD_Perspectives7
Pairs Trade Idea: Long Telkom / Short VodacomPotential Pairs Trade: TKG/VOD Daily Chart - Reversing Off Bottom of Channel Trend Line. Current 0.2914 SL: 0.2770 TP: 0.3200by LD_Perspectives5
TELKOMLooks like more buyers are coming in here at QML which is demand zone and also at the breakout of that flagLongby TheGreatestMarketAnalyst10
TKG Long TC possibleTKG long breakout closure above LTR possible change of Trend wait for closure above or Nibble someLongby surecanweightUpdated 10
telkomtelkom bouncing off support a possible trend shift...waiting for more buyers to come inLongby Sbo_Dhlamini5
TELKOM SAThis is currently on the demand zone where buyers came in previously, we looking for the supporting candlestick and we go bullishLongby TheGreatestMarketAnalyst6
Telkom, Shoprite & Mr Price - Showing SA Economy TrajectoryThe Telkom weekly chart showing a Hammer after effortlessly tearing down multiple support levels. You have to zoom back to 2010-11 to view the price at which Telkom was last at these levels. It sounds irrational that a share could show so much fear with a lot of volume to back that up. What Went Wrong? Telkom pattern isn't strange for JSE in recent times, the market has changed faster than we can change our minds about it. Technical Analysis has failed many traders quietly leaving a trail of disaster. I was digging to find out what could be wrong because this script played out with Shoprite JSESHP followed by Mr Price JSEMRP. One thing I could pick was that these shares featured mostly on foreign buyers lists & we must understand the nature of foreign portfolio investors. South African markets like most Emerging Markets aren't dominated by local investors & foreign investors usually invest profits from own local markets into Emerging Markets. For example Apple Inc is up over 90% in USA. If an investor bought & sold Apple they made a good profit, if they decided to invest some of that profit into an emerging market they are investing a portion of their profit not capital. Now we must appreciate that a loss of profits is a small matter compared to a loss of capital. Now consider a trader/investor faced with loss on profit from profit? If I invest $1000 & makes $1900 then invest the $900 and make $1400, the $1400 isn't the capital base but profit from profit. Now if I invest $500 (1400-900) into an emerging market I have invested profit on profit. Psychologically how much would the blow be if I am to sell the $500 in emerging market? Not a big blow! This is money one can afford to lose 100% & still remain over 90% in the black. So What Then to a local Investor/Trader In emerging markets we must appreciate we are at the mercy of this profit from profit, architects of our own time bombs because we do not invest in our own markets beyond the insurance companies. This script of a tanking market I lived it in Zimbabwe, South Africa feels like a de javu & when the last foreign portfolio investor leaves then a stagnant market follows. If you think this is far-fetched consider that in South Africa less than 5% of the population has any form of saving. The best a trader/investor can do is recognize the market in which you operate in, be always on the lookout for companies dominated by foreign portfolio investors & be ready to pull a stop on adverse news because the sell-off will come in irrational fashion. The more bad news sustains the more we are going to see this horror movie repeated. Magnus Heystek will continue to be proved a genius, Local fund managers will continue to bemoan that South Africa's quality is being overlooked but who cares if S & P 500 is giving amazing returns? South Africa is now a cheap market with a lot of potential for rebound, however that potential might just die as that, potential. It is up to the political authorities to inspire confidence for a return of those who can make the market tick in large volumes. The inconsistency & hesitancy on the part of those in power might prove overpowering of any goodwill. Eskom for one needs an urgency to look at the problem then go all out to to fix, it might mean diverting expenditure from elsewhere and give it a priority because this is one company capable of keeping the bad news coming via terrible trading updates. South Africa is the door to Africa, forget Rwanda, Ethiopia and other fanciful stories. An investor is likely to forage into Africa having learnt a thing or two in South Africa. If the lights go out in South Africa then it will take a Singaporean story to attract portfolio investors again. Until then, happy fishing in the murky waters. You might catch an eel or a cat fish, just brave it and persevere. If it becomes all too much then take Magnus' advice to follow the money. But at current levels the S & P 500 is perched very high, some might jump out of the pan straight to the fire, this is the time for calm heads & calculated risk. by runyamhere117
#JSETKG TelkomTelkom dancing around 10 year support & 6 month support. This is a key area to watch for a rebound.Longby runyamhere4
Plunge continuation Things are still bad for SOCs in SA. I predict the Telkom plunge is still early, I'll be waiting at the next support Good luck and follow me for more! Shortby UnknownUnicorn45655727
Telkom is getting killed - Here's why I'm leaving it aloneTelkom's CRASHED 54% since June! Here's why I'm leaving it alone… This is sad but you need to know. Today, I am taking yet another company off my trading watchlist. Telkom… Since June we've seen this telecommunications giant' share price crash from R100 down to R46.00 per share. That's a 54% sharp drop which signals MAJOR red flags when it comes to trading. In today's article, we'll go into four reasons why Telkom is getting killed, where it could go and why I'm leaving it alone… Reason #1: 50,000 subscribers are ditching Telkom’s fixed-line service a month! For the first time, the number of fixed lines in service have fallen from 3.5 million down to 2.3 million (23% down) compared to September 2018. And this trend is accelerating as around 299,000 subscribers have discontinued the service in the last six months alone. That’s over 50,000 subscribers that are ditching Telkom a month! What’s even more concerning is that there is a major decline in Telkom’s ADSL, VDSL and fibre customers, as new, smaller, lower-cost fibre companies have entered the market, we’ve seen a drop from 981,176 in March 2018 down to 847,650 in March 2019. This equates to losing over 21,000 customers every month. And you know what that means… A drop in revenue, trust and loyalty will lead to a further drop in the share price. Even Telkom warned its earnings per share is expected to drop by 30% to 40% compared to last year. Jean Pierre Verster, Protea Capital Management, mentioned Telkom’s free cash flow generation is negative and the decline in fixed-line revenue is severe. Reason #2: Telkom is losing the battle to acquire Cell C On 15 Nov 2019, Telkom advised its shareholders that it was in talks to potentially buy Cell C, which would create a business with about 22 million subscribers… However, the acquisition would require a financial restructuring as Cell C and its owners would try to restructure R8.7 billion ($591 million) of debt to ensure its gearing level is reduced to a sustainable level. All was said and done with regards to the due diligence, at the first stage, until the deal went off on a major detour when rival MTN Group came in. You see, the MTN Group had already signed an expanded roaming agreement with Cell C. In a statement on Tuesday, Cell C said the talks with both mobile companies are at an advanced stage. CEO of Cell C, Douglas Craigie Stevenson, said in a statement that the agreement with MTN will help Cell C manage its network capacity requirements in a more cost-effective manner. “The roaming agreement is transformative for Cell C.” This deal between MTN and Cell C is putting a dampener on Telkom’s proposed take over as analysts are now suggesting Telkom may have to pay a higher future price for the deal. And according to an email sent by Lester Davids, Johannesburg-based Unum Capital… “Telkom may not have the balance sheet capacity to take on the acquisition” This news of rivalry between the telecom companies continue to cause the Telkom’s share price to drop. In fact, since the statements were released, the investment community has lost trust as Telkom dropped over 11% in a week and then another 8% fall the following week. Reason #3: Both companies are heavily in debt! Telkom’s debt levels are worrying to stakeholders as things stand. Even though the Telkom’s mobile unit is growing, they are spending a huge amount of money and are taking on a lot of debt to fund it. In fact, its net debt has increased to R12 billion. Even Verster said, considering the saturation of the market, both mobile companies are not great businesses on their own. “When you put them together it is even worse,” “It is like having a concrete boot on the left foot, and then putting a concrete boot on the right foot as well.” Reason #4: Still major downside to come for the mobile giant Looking at the daily chart of Telkom, you can see the major crash that took place from R100 down to R46 in a matter of six months… With the sudden crash and with the ongoing problems, we could very easily see it drop to the next target at R30.00 per share and then even R15.00 per share. Then there’s the technicals! As if the reasons weren’t enough, there are technical reasons why I am taking Telkom off my watch list and leaving it alone. 1. High jumpiness When you see a share price drop 8% one week and 10% in another week, there is a high chance due to greed and fear that this will be ongoing until the market rectifies itself. But as a trader, I do not enjoy high volatility when it comes to trading, as very often you’ll find the trades will hit our stop losses or worse JUMP past our stop losses meaning you can lose more than you bargained on… 2. Potential warnings in the future With the extremely high debt, talks about acquisitions and with the investment community losing trust with the company, there is a higher chance of Cautionary Statements to be released on SENS (Stock Exchange News Service). I wouldn’t be surprised if the share is suspended or, dare I say liquidated, with what is going on with the company. For this reason, I’ll leave it alone and look for better more stable trading opportunities Trade Well, Timon Rossolimos Founder, MATI TraderShortby Timonrosso8
$JSETKG WEEKLYTelkom is on WEEKLY SUPPORT, after a long and huge fall will Telkom be able to turn it around at this point? The RSI is OVERSOLD so we expect at least a bounce Longby TraderBrett8