CNX - Is downtrend coming to an end or continuing?
CNX has been in a downtrend since August but it's coming into major support at $8.35.
It has also been consolidating since early this year. Consolidation = energy.
The longer the consolidation, the bigger the energy released will be to the northern or southern direction. Cannot predict which way the energy will be released.
Trade setup 1 (long): Break and retest above $11.30.
Trade setup 2 (long): Bounce off strong support @ $8.35.
Trade setup 3 (short): Breakdown and retest below $8.35. Next level of support would be $6.40.
I noticed this is a very volatile stock. I can see why people are interested in it. Even if price bounces off $8.35, it will be coming into resistance at $9.28, then around $10 area, and then major resistance at $11.29.
It has a lot of work to do to become bullish in my opinion. To me, it's neutral/bearish.
It has also been consolidating since early this year. Consolidation = energy.
The longer the consolidation, the bigger the energy released will be to the northern or southern direction. Cannot predict which way the energy will be released.
Trade setup 1 (long): Break and retest above $11.30.
Trade setup 2 (long): Bounce off strong support @ $8.35.
Trade setup 3 (short): Breakdown and retest below $8.35. Next level of support would be $6.40.
I noticed this is a very volatile stock. I can see why people are interested in it. Even if price bounces off $8.35, it will be coming into resistance at $9.28, then around $10 area, and then major resistance at $11.29.
It has a lot of work to do to become bullish in my opinion. To me, it's neutral/bearish.