Multiplecharts1person_1024x768M Multiplecharts1person_1024x768M Multiplecharts1person_1024x768M

Technical Update - GN Store Nord. Bottom and reversal signal indicates strong rebound

Equity 2 minutes to read
KCL
Kim Cramer Larsson

Technical Analyst, Saxo Bank

Bottom and reversal pattern in GN Store Nord signals turn around and further upside

DKK 113-156 is a wide range back from 2015-2016 that GN Store Nord now seems to be bouncing off from.
For about a year GN has been declining in a steep falling channel. But last week the share price formed at Bullish Engulfing candle which is an indication of a bottom and reversal.
Despite no divergence on RSI this could have been the ultimate low for GN Store Nord. A stronger rebound is not unlikely. A rebound to test the upper falling trend line (weekly chart). If closing above the trendline more upside is expected. 215.30- 266.30 is the key consolidation area that could be tested.
Very short-term GN Store Nord could face some resistance at around 158.80 where a minor correction should be expected. But if GN closes above 158.80 a strong move to 184 is not unlikely.
Look out for RSI. If it gets rejected at the 60 threshold a correction is likely. If closing above 60 there is more upside in the cards.

However, if the mood changes and GN closes below 119 i.e., below the low of bullish engulfing candle the down trend is likely to continue down to around 108.20. If closing below 108 there is no strong support before around 77.

GN m 18oct
Source: All Charts and data in this article : Saxo Group
GN w 18oct
GN d 18oct

Disclaimer

The Saxo Bank Group entities each provide execution-only service and access to Analysis permitting a person to view and/or use content available on or via the website. This content is not intended to and does not change or expand on the execution-only service. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Rules of Engagement and (v) Notices applying to Saxo News & Research and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Bank Group by which access to Saxo News & Research is gained. Such content is therefore provided as no more than information. In particular no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Bank Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Bank Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on Saxo News & Research or as a result of the use of the Saxo News & Research. Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Bank Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. Saxo News & Research does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws.

Please read our disclaimers:
Notification on Non-Independent Investment Research (https://www.home.saxo/legal/niird/notification)
Full disclaimer (https://www.home.saxo/legal/disclaimer/saxo-disclaimer)
Full disclaimer (https://www.home.saxo/legal/saxoselect-disclaimer/disclaimer)

Saxo Bank A/S (Headquarters)
Philip Heymans Alle 15
2900
Hellerup
Denmark

Contact Saxo

Select region

International
International

Trade responsibly
All trading carries risk. Read more. To help you understand the risks involved we have put together a series of Key Information Documents (KIDs) highlighting the risks and rewards related to each product. Read more

This website can be accessed worldwide however the information on the website is related to Saxo Bank A/S and is not specific to any entity of Saxo Bank Group. All clients will directly engage with Saxo Bank A/S and all client agreements will be entered into with Saxo Bank A/S and thus governed by Danish Law.

Apple and the Apple logo are trademarks of Apple Inc, registered in the US and other countries and regions. App Store is a service mark of Apple Inc. Google Play and the Google Play logo are trademarks of Google LLC.