Technical Analysis: 15 February 2021

About the author:

Violeta Todorova
Author name:
By Violeta Todorova
Job title:
Senior Technical Analyst
Date posted:
15 February 2021, 8:00 AM

Orora (ORA) – Building a base

The down trend from the August 2018 high has lost momentum over the past five months and the price appears to have been in the process of building a base.

A higher low has been posted on the chart showing that buying interest is building up and is the first encouraging development since the down trend has started.

The momentum indicators have improved slightly over the past month adding further confidence that the price might be at a turning point.

A decisive break above key resistance of $2.83 would confirm that a new secondary up trend has started and is likely to trigger higher prices in the month(s) ahead.

The first potential upside price target is $3.36, however over the long-term higher price levels are achievable.

Temple & Webster (TPW) – Ready to bounce

The secondary up trend from the March 2020 low has lost momentum over the past four months and the price has been trading sideways, fluctuating between $9.10 and $14.05.

The current short-term down swing has retraced close to its previous key support, where initial buying interest is likely to arise.

The RSI and the MACD indicators have reached oversold territory suggesting that the price is likely to rebound soon. The down swing has lost momentum over the past week and the price has been consolidating within the boundaries of a small ascending triangle.

A break above minor resistance of $11.29 would signal that the short-term down swing is complete and is likely to trigger a rally to $13.80 in the weeks(s) ahead.

Over the long-term, the primary up trend remains firmly intact and we continue to like the stock.

Incitec Pivot (IPL) – Tracking well

IPL has been trading within the boundaries of an upward trading channel since March 2020 which is still technically intact. The current up swing has rebounded to its channel line crossing at $2.80 where initial resistance may arise.

The momentum indicators remain constructive at this point and we are of the view that newly emerging buying interest is likely to arrest the current pull back above the breakout point of $2.40.

The breakout from the ascending triangle marked with black lines in the chart below has been decisive, validating the bullish pattern.

This suggests that a new secondary up trend is now in place and that higher price levels are likely to unfold in the coming months.

The first potential upside price target is $3.00, however over the long-term higher prices are achievable.

IDP Education (IEL) – Target reached

In our last update on the 22nd of January 2021 we discussed number of bullish developments on the chart supporting our high conviction view that the price is likely to rebound strongly in the short-term.

A strong rally has unfolded over the past three weeks and our upside price target of $25.50 has now been reached.

The momentum indicators have reached overbought territory suggesting that the price is vulnerable to a pull back in the short-term.

Over the long-term, we continue to like the stock and we see such potential short-term share price weakness as an opportunity to add to long positions. We will update our view and price targets in the weeks ahead.

Find out more

Morgans clients can login to view all recent technical analysis on companies we cover by browsing the research section and filtering by 'technical analysis' in the Market Updates section. 

If you would like access or more information, please contact your adviser or nearest Morgans office. 

Request a call  Find local branch

Need access to our research?

You are also welcome to start a two-week trial of our online platform, which provides access to detailed market analysis and insights, provided by our award-winning research team

Create trial account 

Disclaimer: The information contained in this report is provided to you by Morgans Financial Limited as general advice only, and is made without consideration of an individual's relevant personal circumstances. Morgans Financial Limited ABN 49 010 669 726, its related bodies corporate, directors and officers, employees, authorised representatives and agents (“Morgans”) do not accept any liability for any loss or damage arising from or in connection with any action taken or not taken on the basis of information contained in this report, or for any errors or omissions contained within. It is recommended that any persons who wish to act upon this report consult with their Morgans investment adviser before doing so.

  • Print this page
  • Copy Link