HMY trade ideas
$HMY:NYSE - HARMONY GOLD MINING - Running nicelyHarmony has been having a great run and looks good on all the indicators except the RSI which at 80 is pretty hot. Would be better to look for an entry when the RSI comes back to around 70 or so, but certainly worth adding to your watch lists if you are interested in Gold stocks.
Harmony Gold Mining Company Limited, through its subsidiaries, is engaged in gold mining and related activities, including exploration, extraction and processing. The Company's segments include South Africa Underground, Surface, and International. The South Africa Underground segment includes Kusasalethu, Doornkop, Phakisa, Tshepong, Masimong, Target 1, Bambanani, Joel, Unisel and Target 3. The Surface segment comprises the Company's other surface operations. The Company's International segment comprises Hidden Valley Project. The Company has operations in South Africa and Papua New Guinea (PNG). The Company's principal product is the Gold bullion. The Company's exploration projects include Golpu project and Kili Teke prospect. The Company has approximately nine underground mines, one open pit operation and several surface sources in South Africa. The Company's subsidiaries include Lydenburg Exploration Limited, Tswelopele Beneficiation Operation (TBO) and Harmony Copper Limited.
Harmony Gold - Trade Idea Short/Sell Harmony Gold (HAR):
Relative Strength Index Printing a bearish divergence from an overbought level
Extended 89% above it's 200-day moving average
Stochastic trading at an overbought level
Trading Levels:
Sell HAR at 5453c (or better)
Stop-loss: 5890c
Take Profit Target: 4750c
Top5 oversold/overbought according to RSIClose to a quarter of the total FTSE/JSE All Share Index companies currently trading at extreme oversold environment – trading under 30 according to its 14day RSI.
You would think that with all negativity surrounding Sasol over the past week, that it would find itself in the Top5 most “oversold” list - close but no cigar. Top5 most overbought still dominated by Gold miners.
FTSE/JSE All Share Top5 oversold/overbought according to 14day RSI indicator as follow:
Oversold:
JSE:TON 12
JSE:APN 17
JSE:DLT 18
JSE:RDF 20
JSE:ITU 21
Overbought:
JSE:PFG 89
JSE:HAR 68
JSE:PAN 67
JSE:LTE 66
JSE:ANG 65
Harmony has gone from smoking hot to red hot this weekWith the volatility and indecision of late more and more people seem to be moving into gold....also see Kirkland Lake Gold LTD (KL); by just eyeing it on Barchart.com while typing this, KL looks to be ready for a bull flag break-out on the hourly. In any case both are rated strong buys, and both are currently in up-trends.
HMY - Still running With Strong Supports In PlaceAs of late, it has definitely been a great time to be an investor Harmony Gold Mining Company Limited HMY. The stock has moved higher by 82.6% in the past month, while it is also above its 20 Day SMA too. This combination of strong price performance and favorable technical, could suggest that the stock may be on the right path.
We certainly think that this might be the case, particularly if you consider HMY’s recent earnings estimate revision activity. From this look, the company’s future is quite favorable; as HMY has earned itself a Zacks Rank #2 (Buy), meaning that its recent run may continue for a bit longer, and that this isn’t the top for the in-focus company (Source: finance.yahoo.com)
Harmony Gold Mining Company Limited, through its subsidiaries, is engaged in gold mining and related activities, including exploration, extraction and processing. The Company's segments include South Africa Underground, Surface, and International. The South Africa Underground segment includes Kusasalethu, Doornkop, Phakisa, Tshepong, Masimong, Target 1, Bambanani, Joel, Unisel and Target 3. The Surface segment comprises the Company's other surface operations. The Company's International segment comprises Hidden Valley Project. The Company has operations in South Africa and Papua New Guinea (PNG). The Company's principal product is the Gold bullion. The Company's exploration projects include Golpu project and Kili Teke prospect. The Company has approximately nine underground mines, one open pit operation and several surface sources in South Africa. The Company's subsidiaries include Lydenburg Exploration Limited, Tswelopele Beneficiation Operation (TBO) and Harmony Copper Limited.
SHORT INTEREST
6.8M 07/15/19
P/E Ratio (with extraordinary items)
-3.50
Analyst Recommendation: BUY
JSE:HAR Harmony Looking WeakAfter showing signs of strength (SoS) (see the previous post) the tide seems to have turned and we are seeing some signs of weakness (SoW). Volatility has increased to the downside. The smaller TR that has formed at the top of the larger TR is also showing an increase in volatility indicating distribution. With the rally in gold, the rally in harmony has been poor and could not break the highs. This looks like there is some downside to come.
Top5 oversold/overbought according to RSI & Harmony GoldEnd of week 3 May 2019. Tough week for #Gold & some #Property stocks. FTSE/JSE All Share Top5 oversold/overbought according to 14day RSI indicator as follow:
Oversold:
Rebosis Property 28
Hammerson PLC 29
Harmony Gold 33
Brimstone Inv Corp 34
AngloGold Ashanti 34
Overbought:
Foschini Group 76
Transaction Capital 76
Reunert 74
Blue Lable Telecoms 74
EOH 74
Spending some time on Harmony Gold . $JSEHAR trading in a channel for the past 2 years, bouncing/find support around the R20.40 levels and never breaching the R32 levels (resistance).
“To date, 78% of the companies in the S&P 500 have reported actual results for Q1 2019. In terms of earnings, the percentage of companies reporting actual EPS above estimates (76%) is above the five-year average. In aggregate, companies are reporting earnings that are 5.6% above the estimates, which is also above the five-year average”. ~ FactSet.
While the fear is low and the outperformances high, we can expect Gold to remain under pressure. Although the share price is nearly oversold levels according to its 14-day RSI, I would therefore not be in a rush to buy HAR yet. I would re-evaluate at R22, but would most probably wat for R20.40 before I would consider an long position and even then, I would rather look at JSE:ARI as my preferred entry into Harmony. Reason – higher diversification.
Thomson Reuters consensus currently got a target price of R31 on Harmony.
Top5 oversold/overbought according to RSI & Harmony GoldEnd of week 3 May 2019. Tough week for #Gold & some #Property stocks. FTSE/JSE All Share Top5 oversold/overbought according to 14day RSI indicator as follow:
Oversold:
Rebosis Property 28
Hammerson PLC 29
Harmony Gold 33
Brimstone Inv Corp 34
AngloGold Ashanti 34
Overbought:
Foschini Group 76
Transaction Capital 76
Reunert 74
Blue Lable Telecoms 74
EOH 74
Spending some time on Harmony Gold . $JSEHAR trading in a channel for the past 2 years, bouncing/find support around the R20.40 levels and never breaching the R32 levels (resistance).
“To date, 78% of the companies in the S&P 500 have reported actual results for Q1 2019. In terms of earnings, the percentage of companies reporting actual EPS above estimates (76%) is above the five-year average. In aggregate, companies are reporting earnings that are 5.6% above the estimates, which is also above the five-year average”. ~ FactSet.
While the fear is low and the outperformances high, we can expect Gold to remain under pressure. Although the share price is nearly oversold levels according to its 14-day RSI, I would therefore not be in a rush to buy HAR yet. I would re-evaluate at R22, but would most probably wat for R20.40 before I would consider an long position and even then, I would rather look at JSE:ARI as my preferred entry into Harmony. Reason – higher diversification.
Thomson Reuters consensus currently got a target price of R31 on Harmony.
Technical Trade Idea - Harmony GoldDear Trader
The recent rebound in equity markets has seen safe-haven assets such as the Yen and Gold take a back seat in favour of risk assets such as the equity market, which globally, has "caught a bid" from oversold levels. From a technical perspective, most major indices have broken below the their (psychological) 200-day moving averages and are making an attempt to regain this moving average, currently nearing the underside of this level.
From an event-risk perspective, the US Mid-Term Elections, the Federal Reserve Interest Rate decision as well as the continuation of the earnings season is sure to keep volatility elevated in the short term.
Based on this, I am looking a short term trading opportunity in Harmony Gold (as a hedge against volatility) who today delivered it's first quarter 2019 operational update which saw a 30-percent jump in quarterly total production (from 9,040 kg to 11,773 kg), boosted by its Hidden Valley and Moab Khotsong mines.
From a technical share chart perspective, Harmony's share price has declined from R31.50 to R25.25 over the last three weeks and is testing the horizontal support and the prior breakout level, which in my view, creates an opportunity to take a buy/long position in anticipation of a bullish reversal.
These are the trade levels:
Buy/Long HAR R25.41 (Current) or better
Stop-loss: R23.90
Take Profit Target: R27.70
