In follow up on my first post of 25 August 2023, we see that after four serious attempts to overcome the neckline of the Head & Shoulders pattern, it seems #Sasol has given up that fight and also went on to slip below the lower line of the slightly upward sloping channel. The implied target of the H & S pattern is way down lower.
Rising Flag formed on Sasol after the continuous downtrend.
We see price remains below 200MA which makes a nice risk and reward trade for the short.
Target remains at R184.52
In a previous post, it was highlighted that Sasol was approaching a buy zone, with a stop loss below 220. Unfortunately, the trade went against us and stop loss has been triggered. There is some minor support at around 212 now, with next major level around 185. Staying away from this stock in the short term as it has been trading poorly last few sessions. Will...
Price has found good support at the major R220 level and broken out of the short-term downtrend.
Pullbacks into R235-R226 will give opportunity to accumulate for a move upwards to target the 200dma initially and then top of range. (Potential for a breakout there as it's been tested 3 times now.)
Sasol (SOL) is a massive international chemicals and energy company which has its roots in the oil-from-coal technology developed during the apartheid era in South Africa. About 50% of the company's profits are directly linked to the oil price. It has two main growth areas - its 50% stake in an ethane cracker plant in Louisiana, America, known as "Lake Charles...
SOL has been in a channel since March 2023 with the upper bound at R265.71 and the lower bound at R220.90. It has currently tested the lower bound. Does it still have legs for testing the upper bound? Traders should be cautious because it is still trading below the 200-day SMA.
Direction: Buy
Target: R257.80
Stop loss: R216.09
Risk/Reward: 2
Traders/Investors...
See link below for previous analysis.
The key level of 22136 has been broken and that means a bottom is not yet in for Sasol.
The Elliott Wave count is not yet clear but the downtrend is still clearly intact with the MACD also turning down below the zero line.
The next support range is between 19600 to 18388 which is where I will monitor price action.
Sasol is trading at the bottom end of its 8 month sideways channel offering a good risk to reward entry on the long side
entry : R229
stop : R206
target R265
Sasol has been trading in a sideways pattern ranging between 226 - 270. Currently approaching the bottom end of the range and hence a buy zone. SL on a close below 220 and upside target of 270 as swing trade idea.
JSESOL has been testing the neckline of its broken Head and Shoulders with a bearish flag as also analysed and published by @Source_Sailor on 18th August 2023.
Last week closed strongly bearish as a signal that the avalanche is gaining momentum.
Targets to look for to the downside are R186 and then more or less a waterfall to R71 past R122.
Short term pullback...
In this follow up of the original chart here on 24Aug23, we see that #Sasol has now made no less than four attempts to conquer the neckline of the Head & Shoulders pattern, yet still unsuccessful. What might be a bearish flag pattern is also now getting fairly long in the tooth and perhaps a resolution one way or the other cannot be far off any more.
Sasol (SOL) is a massive international chemicals and energy company which has its roots in the oil-from-coal technology developed during the apartheid era in South Africa. About 50% of the company's profits are directly linked to the oil price. It has two main growth areas - its 50% stake in an ethane cracker plant in Louisiana, America, known as "Lake Charles...
Taking a step back and looking at the bigger picture can provide a lot of clarity.
Going as far back as June 2014, when Sasol made its all time high at 65299, the large wave structure from 65299 to 2077 is a zigzag.
Wave (A) was an impulse followed by a protracted flat for wave (B) and another impulse for wave (C).
What is interesting to note is that in wave...
$JSESOL has underperformed AMEX:XLE (US oil stocks ETF) massivley over the last year.
There have been good reasons for this, amoungst others, loadshedding and FX hedging losses.
I'm not bullish on Sasol's management given their poor track record, however this divergance appears overdone and could return to the mean on the recent oil price strength.
SSL has been increasing for some time.
Let´s wait for the price to reach the resistance line and then enter the short term position.
The trend and stop loss lines are indicated on the chart.
The entry is 14.44 $ and the target is the upsloping support.
Good luck!
