Coal Mining Stocks: Trend Reversal into Bullish Again!Hello Fellow Stock Traders, Here's a Technical Analysis of HRUM!
HRUM has successfully surged beyond the confines of its previous bearish trendline, a development that augurs a compelling potential for a trend reversal on the horizon. This optimistic momentum is further underscored by the notable ascent above the EMA200 line, a key technical indicator. Notably, this ascent is accompanied by the emergence of a distinct bullish flag pattern, which is often perceived as a harbinger of positive price action.
The recent breakout not only substantiates the newfound upward trajectory but also lends credence to the notion of a promising advancement toward the target zone. Moreover, the analysis of the oscillator reveals a particularly intriguing development - a golden cross formation within the oversold realm. This phenomenon significantly bolsters the case for a sustained bullish trend continuation.
In light of these intricate technical indicators aligning cohesively, market participants could find themselves well-positioned to anticipate a potentially favorable market ascent in the sessions ahead.
It is essential to note that the analysis will no longer hold validity once the target/support area is reached.
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Disclaimer:
Please note that this analysis is solely for educational purposes and should not be considered as a recommendation to take a long or short position on IDX:HRUM ".
Coalstocks
4/17/22 BTUPeabody Energy Corporation ( NYSE:BTU )
Sector: Energy Minerals (Coal)
Market Capitalization: $4.499B
Current Price: $32.54
Breakout price: $32.70
Buy Zone (Top/Bottom Range): $29.45-$26.15
Price Target: $37.80-$39.00 (2nd)
Estimated Duration to Target: 66-68d
Contract of Interest: $BTU 6/17/22 35c
Trade price as of publish date: $3.85/contract
4/3/22 CEIXCONSOL Energy Inc. ( NYSE:CEIX )
Sector: Energy Minerals (Coal)
Market Capitalization: 1.350B
Current Price: $38.77
Breakout price (hold above): $38.50
Buy Zone (Top/Bottom Range): $36.35-$31.75
Price Target: $46.20-$47.80 (3rd)
Estimated Duration to Target: 49-52d (3rd)
Contract of Interest: $CEIX 6/17/22 40c
Trade price as of publish date: $3.50/contract
3/20/22 BTUPeabody Energy Corporation ( NYSE:BTU )
Sector: Energy Minerals (Coal)
Market Capitalization: $2.923B
Current Price: $21.88
Breakout price: $22.70
Buy Zone (Top/Bottom Range): $21.10-$19.40
Price Target: $26.60-$27.00
Estimated Duration to Target: 60-66d
Contract of Interest: $BTU 7/15/22 25c
Trade price as of publish date: $3.60/contract
2/9/22 CEIXCONSOL Energy Inc. ( NYSE:CEIX )
Sector: Energy Minerals (Coal)
Market Capitalization: 1.004B
Current Price: $29.13
Breakout price: $29.50
Buy Zone (Top/Bottom Range): $26.95-$24.05
Price Target: $32.50-$32.80 (1st), $36.20-$37.40 (2nd)
Estimated Duration to Target: 22-25d (1st), 41-46d (2nd)
Contract of Interest: $CEIX 3/18/22 25c, $CEIX 6/17/22 30c
Trade price as of publish date: $4.90/contract, $3.80/contract
Has the Market Mispriced Refined Coal?Just finished writing a detailed analysis of ADES in which I talk about the growing demand for refined coal both in the United States, and more importantly Southeast Asia. ADES is sitting on loads of cash, its turning around its cash from operations, and has a solid catalyst in its chemicals business that puts it ahead of the industry. Using DCF it has a fair value of around $22/share when using the average EPS over the last four years.
The technicals aren't great, but I like the support level and am looking for a bounce from support.
Check out my post if you're interested, and please, leave feedback if my analysis is missing something or if I am overlooking anything: rockvuecapital.wordpress.com