Absa set to go up to at least 125? any takers?

[#1]

Absa, to me at least, seems geared to go up. it looks to me it can only go up, it is trading at extremely low PEs and is currently extremely underperforming both the Top 40 and the All share index. I am aware of the impact of rising interest rates, but the economy (and Absa) should be able to weather the storm. So anyone bullish?

[DCTrader]

Bad debts and NPL's a long way from bottoming out on all bank stocks... giving them a skip until this happens. Could be fun to trade, but don't think we'll see any highs soon.

[#3]

yep, fun to trade that R98-R110 channel. Been having this fun for some time now! Possibly even the R99-R112.

[#4]

whew at least one person supportive, my porfolio is 100% long on Absa calls.

[#5]

I rather want to agee with Roman - Absa has a substantial personal loan book which can come under strain with the increasing interest rates!

[#6]

but why do u think asa moving sideways rather than up or down...all the banks doing this, today seemd as if it were good conditions to trade banks going up...anyone got ideas on y this is happening?

[#7]

I hope you right about ABSA going to R125 .... I'm holding thumbs

[venice]

I am long ASA and down 8% at present, so I feel your pain. So despite what seems logical the market isn't interested in the banks at present(truth be told I bought into ASA on chart technicals and forgot about the rates hike, pretty good trader huh). ASA seems to have support at 9900 or so ,I will hold it but if it breaks support I will take it like a man and sell. Just one point to myself and all of us long ASA if positive sentiment in the market at present hasn't lifted this share what when the sentiment shifts. This just isn't were we should have our money right now.

[#9]

The bout of earnings that are coming out from abroad. Most of them are negative but the market is torn. (Like JP Morgan's rally after the 50% profit drop yesterday.) These company's are exhibiting what could be an example of "Big Bath" behavior. ie: Let all the bad news out now (Take a bath), and start from a lower benchmark in the next period. The market could be responding positively to this.

[#10]

so what u saying is that a bull run in financials is a posibility? in the medium term or short term?

[#11]

INP not doing too bad the last couple of days!

[SimonPB]

mrcash, possible it may be, but probably is where you make the money.

[#13]

and what exactly is that comment supposed to mean, in plain English? (it's very imp to me, i've put money on this).

[#14]

yeah simon i agree with you.. but was it not probable for banks to climb today?.. rand strengthened overnight and dow and s&p did crazy things yesterday..financial sector seemd to have the edge at opening but then downhill, how so?

[SimonPB]

possible, well pretty much anything is possible. What's important is not if it is possible, rather is it probably. Probably means more likely then not, hence tipping the trade over into a more likely profitable situation.

[#16]

oh my god, it just plunged thru resistance at 9900..... siht!!!!!!!!!

[asylum]

get a grip the world has not ended just yet.

[#18]

yeah just wait and see...

[#19]

i see asa is up today, so 9900 level is cemented as resistance i see. well if the intra-day graph looks like this on a daily basis i will be smiling from ear to ear. What do you guys think?

[#20]

relax hotty ... we all hoping ASA is going to fly, but there is so much negativity at the moment ..... i'm also in big time so i'm glad its up today