Jumia Technologies Looks Set to Deliver

On "Mad Money" Monday night, a caller asked about Jumia Technologies (JMIA) .

Here was host Jim Cramer's response: "This is speculative, but I think it's a good spec." 

Let's check out the charts of this company specializing in e-commerce in African countries. 

In this daily bar chart of JMIA, below, we can see that prices bottomed with the broad market in March. Prices rallied quickly and steeply into early August before a pullback/correction that retraced two-thirds of the gains. Prices have begun another rally in early October. Prices have not made a new high for the move up, but so far prices are holding onto their gains.

JMIA is above the rising 50-day moving average line and the rising 200-day moving average line. The On-Balance-Volume (OBV) line is positive and the Moving Average Convergence Divergence (MACD) oscillator has narrowed sharply but has not yet crossed to a take profits sell signal. 

In this weekly bar chart of JMIA, below, we can see a base pattern and a weekly close above $20 will refresh the uptrend and serve as an upside breakout. The weekly OBV line and the MACD oscillator are bullish. 

In this daily Point and Figure chart of JMIA, below, we can see a potential upside price target in the $23 area. 

In this weekly Point and Figure chart of JMIA, below, we can see a potential longer-term price target in the $43 area. 

Bottom line strategy: Aggressive traders could go long in the $16 area risking a close below $12. The $23 area is our price objective for now.

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