SBSW is a diversified global miner with its hands in gold, palladium, platinum, rhodium and several others, including battery metals. It is extremely depressed from its 2022 all-time high of 18.92 to the current 5.07, down 73%. I’ve had it on casual watch for a long while as the company has had its share of issues, both with its products’ supply/demand and operationally. But they say buy low and buy what is hated, so I keep an eye on the chart.
The daily chart shows SBSW long since having broken out of a falling wedge. It then ambled along a would-be base for a few months before breaking upward for a failed test of the daily SMA 200 in April. Then a hard pullback to test the SMA 50.
In having thus far held that level and hinting to turn up again a setup is in place for a would-be buyer to take a shot if said would-be buyer is a commodity bull and constructive on SBSW for fundamental reasons. The first caution point to a buy at this level would be if it were to drop below the SMA 50. The next would be a loss of the 4.38 to 4.70 support zone. If it proceeds upward, a takeout of the SMA 200 that holds and a new high above 6 would set the stock free, technically speaking.
Let’s dial out to the big picture view where we find SBSW nesting on long-term support. There was a time commodity bulls and supercyclers loved this stock. This is not that time. Hence, it is interesting from a long-term investment standpoint as a buying opportunity.
A reminder that chart based NFTRH+ updates are technical trade setup ideas, which may not be revisited as the technical parameters are already noted. These updates are meant as a starting point for your further research if interested. I will not personally buy every item highlighted and will sometimes sell (ref. Trade Log) any item that I do buy below target (assuming I’ve not stopped out or sold for some other reason) as I often do. Also please be aware that I am not a fundamental stock analyst. Due diligence is your responsibility.
