But, the future is much brighter than the past year. Price produced a falling wedge and positive divergence, along with the oversold conditions, that launched KOL off the bottom. The indicators show a long and strong profile moving forward. In addition, KOL now exhibits an inverted H&S with head at 22-ish, neckline at 27-ish, so the upside target would be 32-ish should price move up thru the neckline. The daily chart shows the inverted H&S much more clearly as well as gaps left behind when price came off the bottom, therefore, a move down to 22.5-ish to fill the gap must be considered. Overall, the projection for coal is very positive moving forward and KOL is set up bullishly. Even in a large market melt-down, coal would be one sector that has already received a severe punishment so it would not have as far to fall. If the president is reelected, weakness will reappear in coal. If Romney is elected, coal will catapult strongly higher. In the shorter time frame before the election, September-October, KOL could easily work up to the 30+ area, and then the story would be written once the new U.S. leader is decided on 11/6/12. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.
Draghi cancelled his speech for Jackson Hole.
ReplyDeleteYep, you would think futures would dip more but instead they stay flat, although in the last couple minutes they may now be leaking lower. It appears he had nothing to say. Draghi says his work load is too busy. There is no one shedding a tear for himi, everyone has a busy schedule. If you cannot stand the heat, get out of the kitchen. At least he did not say the dog ate his homework.
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