Sainsbury for 26/09/2019

#Gold #WallSt With all this Brexit hullabaloo, we’ve a sneaking suspicion the markets anticipate the major supermarkets to do rather well in the event of any supplies crisis. After all, in times of shortage or disruptions, retailers price goods against “worst possible” scenario. Almost accidentally, they will generally do rather well out of a major issue as the need for “Special Offers” or price comparison vanishes.

Already, Sainsbury are poised at the starting gate for some reasonable share price movement.

Essentially, there looks like a trigger level of 225p which, if exceeded, allows price growth to an initial 238p. Better still, if exceeded, this allows ongoing travel toward a secondary calculation of 284p. Beyond 284p, we shall need re-examine the tea leaves (if we can afford them) as some quite extraordinary longer term movement becomes possible.

Of course, there’s a fly on the soufflé.

Regular readers will be aware of out historical hysteria over Gap Up / Gap Down movements on shares. On many occasions, they proved incredibly reliable indicators for serious trouble ahead and in the case of Sainsbury, it produced a couple of textbook warning gaps. We’ve circled them on the chart.

Unless Sainsbury actually makes an effort to close above 225p anytime soon, it’s trading in a region where below 192p risks reversal down to an initial 167p. Worse, if broken, our longer term secondary (and hopefully bottom) calculates down at 138p. We can go lower as ultimate bottom, the point we cannot calculate below, is at 100p. At present, nothing threatens such a calamity

FUTURES

Time Issued	Market	Price At Issue	Short Entry	Fast Exit	Slow Exit	Stop	Long Entry	Fast Exit	Slow Exit	Stop	Prior
9:51:24PM	BRENT	61.65									‘cess
9:53:13PM	GOLD	1503.86	1501	1497.5	1485	1508	1508	1509.5	1512.74	1502	Success
9:55:25PM	FTSE	7306.38									‘cess
10:00:14PM	FRANCE	5595.2									Success
10:02:19PM	GERMANY	12264									‘cess
10:04:50PM	US500	2984.97									‘cess
10:33:35PM	DOW	26984	26734	26618	26481	26915	27028	27078.5	27205	26884
10:37:02PM	NASDAQ	7805									Success
10:42:53PM	JAPAN	22030

25/09/2019 FTSE Closed at 7289 points. Change of -0.03%. Total value traded through LSE was: £ 4,597,482,306 a change of -12.72%