$SOL we are approaching a possible reversal area.

22 thg 8, 2019

Watch the area between R290 - R295 which has a high probability of becoming another area of resistance for Sasol. Ever since the update came out in May regarding the LCCP project and further budget overruns, the stock has battled to trade above the 20 day moving average. There is a good chance that the 20 day moving average could once again provide resistance and halt any further advances for the stock (also take note of the 40 RSI level which has been resistance on the daily chart). Should we trade above the high point of last week (R295) as well as start to see two consecutive daily closes above the 20 day moving average, then only would i start to believe that we have seen a change of trend. Until then, as they say, the trend is your friend!