Investec PLC offers a low-risk opportunity in our view. The share price has been in a 16 month sideways consolidation. From past experience we know that a break from such a consolidation leads to a very profitable move, in this case we expect it to be to the upside. When the share price breaks resistance at R60, it will open the door for the first target of R110. If the price breaks support at R50, it will be bearish and we will not be interested in buying. We will accumulate once all our criteria are met.
Take note that we are not giving trading recommendations. If you are trading your own portfolio, you must do your own research. We implement strict measures to manage the risk inherent in trading and investing. This blog is aimed at clients from whom we have a mandate to manage their accounts.
