Trends and Targets for 3/04/2019

Fevertree #DAX #NASDAQ As it’s spring, Tuesday (in our bit of Scotland) started with a covering of snow, along with ice covered windscreens. Adding to the cheer was our little tractor, devoid of a big back wheel, awaiting work on its brakes. Some days, share prices inspire similar levels of enthusiasm for getting a job done….

Thankfully, Fevertree does not join this grouping as the price looks capable of some continued movement upward as above 3190 now suggests coming recovery to an initial 3382. If exceeded, our longer term secondary calculates at a comfortable 3800. We’re mildly enthusiastic over this, if only due to the price ending its self imposed exile below 2950 and now closing solidly above its glass ceiling.

As always, we’ve spotted a fly in the ointment. (why would a fly be in ointment?)

The RED uptrend on the chart delineates closing prices since 2016. The inset on the chart illustrates how the price has closed during the most recent 4 sessions. Visually, the market is avoiding the share closing above the prior trend and this is always a worry. It appears growth cannot be safely assumed until the share price closes above the prior uptrend, presently at 3075p.

The problem we have with these games is fairly simple. Until the price actually closes above this trend, it remains trading in a region where weakness below 2470 risks reversal to an initial 1923. If broken, secondary computes down at 1196p.

We suspect it intends head upward, perhaps just awaiting some sort of news report.

2/04/2019 FTSE Closed at 7391 points. Change of 1.01%. Total value traded through LSE was: £ 6,377,319,208 a change of 3.85%
1/04/2019 FTSE Closed at 7317 points. Change of 0.52%. Total value traded through LSE was: £ 6,140,820,056 a change of -14.64%

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