This is a follow-up post on the BHP spin-off, S32.
The previous post drew attention to the breaking of the downwards trend-line, and suggested that S32 might prove to be a quicker turn-around play than the parent stock BHP-Billiton.
In the previous post it was noted that despite the breaking of the trend line, the down-trend remained intact. (at December 30 2015 when the share-price was $1.085 at close).
Not surprisingly, the share-price did slide lower in the New Year to support at 88 cents where a double bottom was formed.
From this point, the share price has moved higher with a change in trend evident on the 4th February 2016, penetrating resistance at $1.
This is bullish for further appreciation the S32 share price, but it is likely that low commodity prices will continue to be a drag on the share price.
Disclaimer: This post discusses aspects of technical analysis, and should not be relied upon in making investment decisions. Professional opinion(s) should always be sought for advice appropriate to your individual needs. The writer has a small holding of shares in S32.
Categories: Chart Review, Uncategorized
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