After badly underperforming precious metals peer Fresnillo, the South African platinum miner is finally breaking out, says Richard Perry at www.centralmarkets.co.uk.
A bullish 'head-and-shoulders' pattern implies a target of 2,100p, with the 2,138p April high just above there. With strong momentum and relative performance at a three-month high, expect strong gains. Stop-losses on near-term trades should be below support at 1,641p, while longer-term trades could be placed as low as 1,565p or even 1,454p.
IC Trades are written by Investors Chronicle writers. City Trades are written by selected external contributors. Both are based on the interpretation of patterns on a share price chart, rather than on fundamental analysis of the company's business or prospects.
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