WOW - WOOLWORTHS GROUP LIMITED

[walbrook]

Art,

 

Can You have a look at the WOW chart and tell me what you think?

 

would this come up on your Trinity scan?

 

Thanks in advance

 

Walbrook

 

 

 

 

 

 

 

 

[MBA]

Hello,

I know my user name isn't arty but the weekly chart shows a mundane stock in regards to price action. It has literally been in a trading range of 24/25 - 30 since mid June 2008.

The range was choppy before July - August 09 when an advance set it, but it was turned down at around that $30 number yet again.

Better opportunities out there, Woolies is literally a sleeping giant compared to some stock's movements over the past 8 - 10 months. Boring unless you want to take a long at the bottom of the range or short at the top if turning points continue to occur there.

Apologies for the quickly drawn chart.

2c., i could be wrong blah blah mba.

 

http://i137.photobucket.com/albums/q239/kyle-sutcliffe/big.gif

[arty]

Hi MBA and Walbrook

You're right, MBA - WOW is a boring stock and that's the reason it hasn't been of any particular interest to me.

 

(as an aside, Walbrook: If you want to seek my opinion on a stock I have "ignored", just pop me an IM. I still may ignore it if I don't have the time or interest, but I'll be able to tell you )

 

Depending on whether you want to trade it off a daily chart, or "to have and to hold" in a portfolio based on a weekly, I attach two charts. In the Daily, I've written the essential observations as brief comments. Yes, Trinity started to show a few alerts, but every "maybe soon..." was quickly snuffed out, and my current position - if I held one - would be Short (last arrow is down).

 

A break above $27.60 on good volume might change that, however.

 

The longer-scale Weekly chart is also technically a Short; having found support at the 50% Fib level is however encouraging. If the buying momentum could be maintained and price break above $28.25 (the pink horizontal line on the right), the likelihood of more upside would increase considerably. Especially if the recent High (100% of the drawn range) were broken, I might accumulate above $30 for an optimistic target of slightly above $37 (doubling the range drawn $23 - $30.xx).

 

Having said that, I have to be mindful of the time periods involved: The target may be a year or longer in waiting. While 20% interest beats bank interest, it's by no means guaranteed; that's why I prefer less "boring" and more volatile stocks.

[Tylergold]

Check Sheet 2 or my woolworths valuation through DCF looks like a buy (2003-09)

[mistagear]

Agree Arty,

 

The code is the ONLY wow in this stock... good one for the investors who seem to favour good fundas and a falling trend

 

Merry Christmas

[anglingdarma]

Thanks Tyler

 

I still dont like WOW at 27ish, current dividend yield is only 4% (5.7% inc franking credit). Not much upside either. I will probably consider buying @25

 

 

Marry Christmas and Happy New Year All!

[Tylergold]

update to attachment

[Brendan]

Still oversold by around 5% IMO.

 

Brendan

 

 

[Tylergold]

Wow is not a stock, but a VERY good business churning out huge profits. Its gone sideways/down as it was very overvalued 2 years back, still in my opinion slightley pricey.

[anglingdarma]

Didnt expect WOW to go down by that much, 1.7% now. just because the market in general is negative or an anticipation of tomorrow's reporting?