JSE Weekly Market Analysis 13-17 January 2025
JSE SHARES
Basic Materials
Anglo American Platinum Ltd (AMS): Anglo American Platinum Ltd. is a holding company that supplies platinum group metals. The company specialises in mined, recycled, and traded metals including palladium, platinum, rhodium, ruthenium, iridium, and osmium.
The share price has made a bullish breakout above the upper Bollinger Band (BB), suggesting continued upward momentum. The moving average convergence divergence (MACD) has confirmed a bullish crossover, strengthening the potential for further gains.
A potential Buy/Long idea can be initiated with the take profit (TP) set at R721.26 and the stop loss (SL) set at R569.85.
Consumer Staples
British American Tobacco Plc (BTI): British American Tobacco Plc is a holding company that manufactures and distributes tobacco products. Its brands include Kent, Dunhill, Lucky Strike, and Pall Mall. The company operates in the Americas, Asia-Pacific and Middle East, Sub-Saharan Africa, Europe, and North Africa (ENA).
The share price is trading within a rising wedge pattern and has yet to break below the lower boundary at R676. The relative strength index (RSI) has indicated a bearish divergence, suggesting that upward momentum is weakening and the potential for downward momentum is increasing.
A speculative Sell/Short idea can be initiated, with the TP set at R641.81 and the SL set at R698.40.
Technology
Clicks Group Ltd. (CLS): Clicks Group operates as an investment holding company and retail trades healthcare products.
The share price is forming a double-top pattern, with both peaks at R440.70. However, the price has not yet closed below the neckline at R365.73, which would confirm the pattern and trigger a potential sell opportunity. Adding to this, the RSI has signalled a bearish divergence, indicating that upward momentum is fading and a shift toward downward momentum may be imminent.
USA STOCKS
Consumer Discretionary
PENN Entertainment, Inc. (PENN): PENN Entertainment owns and manages gaming and racing facilities, and video gaming terminal operations with a focus on slot machine entertainment.
The share price is trading within a falling wedge pattern and has yet to make a bullish breakout. Currently, the price is testing the 200-day simple moving average (SMA), which is acting as a dynamic support/resistance level. Additionally, the moving average convergence divergence (MACD) has signalled bullish momentum, indicating the potential for an upward breakout.
A potential Buy/Long idea can be initiated with the take profit (TP) set at $23.52 and the stop loss (SL) set at $17.91.
Industrials
Parsons Corp. (PSN): Parsons is a disruptive technology provider in the national security and global infrastructure markets, with capabilities across cyber and intelligence, space and missile defense, transportation, environmental remediation, urban development, and critical infrastructure protection.
The share price is currently testing the 200-day SMA around the $90 region, acting as a key support/resistance level. The MACD has signalled a bullish crossover, indicating potential upward momentum.
A potential Buy/Long idea can be initiated with the TP set at $104.61 and the SL set at $86.96.
Informational Technology
Palo Alto Networks, Inc.(PANW): Palo Alto Networks is in the business of network security solutions to enterprises, service providers, and government entities.
The share price is currently testing a key support level around the $170 region, coinciding with the 200-day SMA. However, be aware that the MACD has yet to confirm a bullish crossover, leaving upward momentum unconfirmed.
A potential Buy/Long idea can be initiated with the TP set at $198.62 and the SL set at $161.23.
Disclaimer:
*Any opinions, views, analysis or other information provided in this article is provided by BCS Markets SA trading as BROKSTOCK as general market commentary and should not be viewed as advice according to the FAIS Act of 2002. BCS Markets SA does not warrant the correctness, accuracy, timeliness, reliability or completeness of any information provided by third parties. You must rely upon your judgement in all aspects of your investment decisions and all decisions are made at your own risk. BCS Markets SA and any of its employees shall not be responsible for and will not accept any liability for any direct or indirect loss including without limitation any loss of profit which may arise directly or indirectly from use of the market commentary. The content contained within the article is subject to change at any time without notice. BCS Markets SA is an authorised financial services provider FSP No. 51404.
** This article was prepared by BROKSTOCK analyst Maboko Seabi
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