Here's how Glencore shares can spring surprise recovery
After a poor 2018, this miner has started 2019 well, but can it continue? Our chartist gives his view.
19th February 2019 10:31
by Alistair Strang from Trends and Targets
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After a poor 2018, this miner has started 2019 well, but can it continue? Our chartist gives his view.
Glencore (LSE:GLEN)
With the changing fortunes against the price of gold, it made sense to review one of the major miners. Of course, it was only once we completed the report did we notice Glencore (LSE:GLEN) are famous for everything - except gold. A typical Monday 'oops' moment!
However, it doesn't really make a difference to us as the share price is in early stages of showing some potentials.
Movement now above 313p should prove worthwhile, allowing some price recovery to an initial 326p. If exceeded, our secondary calculates at 333p. To be fair, neither movement is particularly exciting but there is an aspect to this which is worthy of note. In the event Glencore actually manages to close a session above 326p anytime soon, longer-term movement to 388p becomes very possible.
Unfortunately, for now it's just a little bit dangerous, requiring below 280p to provoke some panic as weakness down to an initial 249p makes sense. Our secondary, if broken, comes along at 220p.
What's been happening with Glencore is strangely reminiscent of the FTSE 100 index. The UK market had been looking like it was destined to fall, only for early indication of a change of heart.
Glencore is presently flirting with some surprise recovery, requiring only a rise of 11p from current to suggest surprise recovery.
Source: Trends and Targets Past performance is not a guide to future performance
Alistair Strang has led high-profile and "top secret" software projects since the late 1970s and won the original John Logie Baird Award for inventors and innovators. After the financial crash, he wanted to know "how it worked" with a view to mimicking existing trading formulas and predicting what was coming next. His results speak for themselves as he continually refines the methodology.
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