Setups I prefer .... JSE not following world markets ... US account

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Derek  11 May 2018


After the break the world markets are flying. All markets positive with the HangSeng leading the pack.

Lets show the HangSeng what it looks like this morning. (market open) Tencent is leading the pack with a +1.53% gain.

Lets show a setup I prefer with the share Becton Dickonson. The share made a correction, then stalled with a long leg candle with small body. (close to doji) Then the trend line gets broken. I would have preferred that the TrendFactor had to be green too, this one is only yellow.

My all time favorite, NVIDIA Corporation, has now broken top resistance and moved into overbought territory. I will not be surprised if profit taking starts stepping in. Notice that I even had to adjust my trend line to a steeper one.

JSE Technical:
The banks did start lifting their heads, but the two shares that caught my eye were Exxaro and Naspers. The JSE is very subdued and do not follow the world markets except for one or two shares.

Naspers is following Tencent, so lets have a look at Exxaro.
Although FrontRunner and the MACD were moving upwards, the share price moved mostly sideways. It is slowly coming out of a red TrendFactor to a yellow one. It will need some stronger moves to get back to a green TrendFactor.

The TrendFactor is very important. You remember that I warned you with the knowledge of the JPMorgan report that one must stay away from platinum shares. I show Implats that had a red TrendFactor for quite a long period and notice my trend line. A further -6.07% yesterday. Never be clever and and go against the trend. If you think a share cannot go lower .... believe me it can. This share is just as bad as Steinhoff?

US Account:
I can really recommend to anyone to have a US account. Although they have Trump that upsets the markets, their markets are performing much better than the JSE. If buying shares directly abroad is too overwhelming, at least have unit trusts that invest abroad.

You must have a great weekend.
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