Kaz Minerals for 2/09/2019

#FTSE #BRENT It’s difficult reviewing many of the Mining Sector without flinching a little at their overall prospects. Kaz is a case in point as the Big Picture presently indicates some reversal as viable and we’ve a problem. Our targets will see the share price decline below the uptrend since 2016 and this will be arithmetically bad.

The issue we have with the share is fairly straightforward. If the price of KAZ closes below RED on the chart, ultimate bottom – from a Big Picture perspective – calculates at Minus 215p, obviously an impossible ambition. Unfortunately, once shares start to perform in a region where “ultimate bottoms” are prefaced with minus signs, some truly irrational price moves can occur. For example, witness the current mad swings experienced by Thomas Cook, a share with a pretty solid bottom target in negative numbers!

At present, the ruling uptrend (RED) for KAZ calculates at 345p. Closure below this trend risks some troubling movements and at present, there’s a problem. Weakness anytime now below 376p will be regarded as entering a cycle to an initial 305p. If broken, secondary calculates at 270p, a point we’d normally hope for a bounce. 

The big issue is both target ambitions afford the share the chance of closing below RED, trapping the price in a zone where it shall need some sort of miracle to escape. At time of writing, KAZ is at 402p, looking fairly safe. We have our doubts, if only due to the visual risk of “lower lows”.

If there are to be any near term surprises, apparently above 408p should provoke a rise to 414p soon. In itself, an utterly useless movement but one which should trigger a near term secondary at 435p, perhaps even 480p if riding on the back of stronger commodity prices. We’re not breathless with anticipation and suspect 305p shall make an appearance eventually.

FUTURES

Time Issued

Market

Price At Issue

Short Entry

Fast Exit

Slow Exit

Stop

Long Entry

Fast Exit

Slow Exit

Stop

Prior

2:01:48PM

FTSE

7231

7175

7150

7120

7235

7241

7268.5

7349

7175

2:05:08PM

BRENT

59.09

58.48

58.04

57.32

59.73

60.64

61.445

62.44

59.34

‘cess

2:09:26PM

GOLD

1520.79

               

2:33:22PM

FRANCE

5495.2

               

‘cess

2:43:58PM

GERMANY

11964

               

‘cess

2:46:28PM

US500

2922.92

               

‘cess

2:50:35PM

DOW

26395

               

‘cess

2:54:11PM

NASDAQ

7670.87

               

‘cess

2:56:35PM

JAPAN

20668

               

‘cess

30/08/2019 FTSE Closed at 7207 points. Change of 0.32%. Total value traded through LSE was: £ 5,562,641,107 a change of 12.91%

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