Sasols big break still ahead ... A few more times

12 nov 2020

will add to this analysis tomorrow, I'm also looking for just some stability but for now here is some of my charts.
What I tried to show with the USOIL and USDZAR is that both of them benefits Sasol the higher they are. However the news of the vaccine shot up oil future and the markets overall. Along with the election and the Vaccine news 1) The rand strengthened to its best since Covid started, to the dollar , 2) The Oil future rose by almost 10%
So we know and saw what the effect of people being uncertain has on some stocks and how even the slightest news can ease their concerns and we see stocks rocket like we did. As always the sellers were waiting for just their moment but looking at the chart the high sell off did not last very long and the number of shares shows to more institutional traders who took profit looking at DOM while the action was happening.
Getting back to my chart of the US OIL and USDZAR, We see them diverge, normally people are more reactive on USDZAR value but it looks like others news have taken over for now. So we are sitting with a much better oil price than a while back, the USDZAR has already started moving in the other direction. If the Oil price could meet the USDZAR up higher as not only analysis but even looking over the last few days clearly shows is on its way again, then we are clear for a really new target.

For those sad of todays or yesterdays losses...Relax some of us have been on the Sasol train for ages and markets. Remember that Moderna, Regenatron and many more vaccines will be announced over the next month or two, expect another breakout to happen more than once...just be ready at any second.
I have personally set my take profit to R133 and stop loss to R79.

Will update on the full charts tomorrow or as soon as possible. Tomorrow is quite important in seeing the short term to medium term trajectory.
Rudi Roelofse

12 nov 2020

Nota

One of the main charts that the above paragraph is referring to with the USOIL and USDZAR plotted and showing the divergence if giving problems. Will add ASAP.
The main chart is just my own trading chart. Fibonacci Analysis, VWAP, RSI, VOLUME etc have also been used but hidden not to over complicate the chart.