Sanlam in the process to build a new rally
AFTER a recent slide, Sanlam’s share price is consolidating and building up for a new rally, as shown on its chart. Sanlam – Rally potential. Recommendation: Buy on a pullback.
Current Trend: Short-term sideways, but improving.
A sharp sell-off in Sanlam’s share price over May/June reached a supporting trendline and the price is stabilising right now, building up for a rally.
Traders can buy it on minor pull-back from current levels, eg at the R65.50 level.
Then once it closes above R67.50 expect the new rally to accelerate to a target of R70 to R70.50 for a short-term trade. But protect your trade by exiting (selling) if the price closes below R63.80.
Colin Abrams is an independent technical analyst. To subscribe to more recommendations by the author, or attend his courses, please go to www.themarket.co.za