Technicals | Dec 13 2022
This story features CORONADO GLOBAL RESOURCES INC. For more info SHARE ANALYSIS: CRN
By Michael Gable
The S&P 500 Index remains under its 200-day moving average and the downtrend line. This is not a negative. Stocks and indices naturally find some selling at resistance, but it is how hard they are sold down that we need to pay attention to. So far, we are hovering under these resistance levels instead of moving sharply lower, which is a positive. Of course, it all comes down to the US CPI print tonight and how markets react to that over the next few days. Whatever happens, we reiterate our view that markets are better now than a few months ago, and the resources sector is the top pick for trading ideas.
Because this week is an event risk, most stocks are just consolidating here and there aren't many opportunities right now. It may well be a different story this time next week of course. Therefore, for this week's report, we are limited in the number of opportunities available. But we take a look at Coronado Global Resources ((CRN)).
CRN broke to a new high at the end of November (circled), but it then fell back into the range. It is now back towards support at $1.90. However, volume on yesterday's decline was fairly high. Ultimately, to be bullish on the chart, we need to see it hold onto $1.90 and then push higher again. A fall under $1.90 would then have us targeting $1.70 as the next support level.
Fairmont Equities is a share advisory firm assisting Private Clients with the professional management of their share portfolio. We are based in the Sydney CBD but provide services to private clients across Australia. We believe that the concepts of fundamental analysis and technical analysis of stocks are not mutually exclusive. Regardless of whether you are a trader or long term investor, combining both methods is crucial to success. As a result, the unique analysis of Fairmont Equities is featured regularly in the media such as Sky News Business, CNBC, The Australian Financial Review, and the ASX newsletter. Contact us for a free trial of our research and information on our portfolio management services.
Michael is RG146 Accredited and holds the following formal qualifications:
• Bachelor of Engineering, Hons. (University of Sydney)
• Bachelor of Commerce (University of Sydney)
• Diploma of Mortgage Lending (Finsia)
• Diploma of Financial Services [Financial Planning] (Finsia)
• Completion of ASX Accredited Derivatives Adviser Levels 1 & 2
Fairmont Equities Australia (ACN 615 592 802) is a holder of an Australian Financial Services License (No. 494022). The information contained in this report is general information only and is copy write to Fairmont Equities. Fairmont Equities reserves all intellectual property rights. This report should not be interpreted as one that provides personal financial or investment advice. Any examples presented are for illustration purposes only. Past performance is not a reliable indicator of future performance. No person, persons or organisation should invest monies or take action on the reliance of the material contained in this report, but instead should satisfy themselves independently (whether by expert advice or others) of the appropriateness of any such action. Fairmont Equities, it directors and/or officers accept no responsibility for the accuracy, completeness or timeliness of the information contained in the report.
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For more info SHARE ANALYSIS: CRN - CORONADO GLOBAL RESOURCES INC