Wednesday, 12 June 2013

CNX - another rough day

With the main equity market closing very weak, the coal miners again slipped. Consol Energy (CNX) fell 1.7% @ $31.81. There is trend support in the mid 31s, and if the main equity market holds above sp'1598, CNX should start to rally from current levels.

CNX, daily


CNX is one of the biggest coal miners out there (they are also involved in Nat' Gas).

From a technical perspective, this was the second daily close below the 200 day MA, and the sixth close below the 50 day MA. Certainly, this is a broken stock, that has struggled so far this year.

Indeed, the entire mining sector remains under severe pressure.

If CNX fails to hold the mid 31s this Thur/Friday, there is open air down to the March low of $29.50. However, underlying MACD (blue bar histogram) cycle is very low, and we're more than overdue some degree of rally.