Top5 oversold/overbought according to RSI & Gold Fields

Oversold:

Delta Property 24
Pan African Resources 27
Gold Fields 30
PSG Konsult 32
Telkom SA 32

Overbought:

Trencor 84
Wilson Bayly Holmes-Ovcon - WBHO 83
Pioneer Food 82
Capitec Bank 78
Investec PLC 78

Spending some time on Goldfields. How quickly a share can go from hero to zero. A month ago, GFI was still trading at the top of the “OVERBOUGHT” list, just to now find itself in the top5 most “oversold” according to its 14-day RSI. It does seem like the “fear” aspect in the markets has died down somewhat. I would therefore personally be sitting on the side-line with this one.

Although it does seem oversold over the short term, that horizontal support line, which corresponds quite nicely with the 200-day Moving Average (at R61.84) worries me a bit. I would personally first like to see if it’s going to try a test these levels, with a break and close below these levels, most probably looking to test the R51.50 levels next. The share price might also be oversold according to RSI, but not yet on a price relative basis against the FTSE/JSE All Share.

Should we, however, see a “dead-cat-bounce” from current levels, could see the share price find resistance at the 50-day Moving Average at R81.