Selected shares from January 2013 – I found these 5 screenshots taken from the Bloomberg terminal in a folder and thought they must have some significance, so went back and see what happened to each share. See below.
- Old Mutual break+kiss
- Woolworths volume spike
- Arrowhead top of range
- Massmart in the middle
- Hyprop on support
Old Mutual break+kiss
OML shows a potential break and kiss formation. What happened afterwards? R26 was around that breakout level on the chart – OML continued upwards and looking at a daily line chart till Q3/2017 (almost 5 years later) it has never been below the R26 level again.
Woolworths volume spike
WHL had a massive volume spike right on its support line. The price turned up and continued from around R64 to around R80 in just a couple of months, towards the end of May that same year, 2013.
Arrowhead top of range
AWA approaching the top of its trading range. Wat happened afterwards? In the chart AWA was trading at R7. It then reached the top of its range and the upwards motion continued to R8.
Massmart in the middle
MSM was right in the middle of its trading range. What happened afterwards? It came down to support, turned up and went above R200. After that, the rising wedge (which is a bearish pattern and you can see it develop in this chart already) gave in and the price came down to around R115 in Q1/2014.
Hyprop on support
HYP came back to it’s support line. What happened at support? The support didn’t hold and the price dipped below R71 before moving again, but if hardly moved all year as it traded large between R70 an R80, going sideways for the whole of 2013.
There you have it. 4 out of 5 ain’t bad.