Companhia Sanea (SBS)

[flatlander_60048]

Listner

SBS and the other Brazilian stocks I follow are breaking out today. EWZ up almost 7%. If SBS closes above 6 it will be well above the resistance it has been fighting. The fundamentals are improving - the the Cantierera reservoir is at 55% capacity up from 8% in 2014. The Alto Tiete (sp) has a way to go since it is around 35%. SBS should consider stopping the bonus since I have read that it results in water hording in containers that provide a breeding ground for the Zika carrying mosquito.

As I indicated before, my long term targets (5 years out) out are north of 24. The Bovespa is once again at a critical juncture (see chart and article. The 61 % retracement observed earlier this year brought the Bovespa back to the long term trend that extended back to the mid 1990's. I think it is set to rally. It will probably take a little help (clarity on Dilma's situation, a weaker dollar, a successful Olympics would not hurt either).

Good Luck

https://finance.yahoo.com/echarts?s=%5EBVSP#{"showSma":true,"smaColors":"#cc0000,#009999,#ff00ff","smaPeriods":"50,200,20","smaWidths":"1,1,1","smaGhosting":"0,0,0","range":"5y","allowChartStacking":true}

http://jlfmi.tumblr.com/post/140313476675/brazils-bovespa-is-once-againthe-most