EMN Eastman Chemical Daily Chart

EMN Eastman Chemical has been a darling of the momo crowd the last few months but the party is over. Island reversal occurred at the top as price dropped back down to 94. The larger island with 90 as a base is in play now. Thus, an island reversal would drop price to 87 in a heartbeat. Price successfully bounced off the lower trend line but it is only a matter of time before it fails.

The negative divergence is strong and a sideways to sideways down bias should be in store moving forward. This chart would favor forming an H&S as price moves out sideways and would create a right shoulder. Watch to see if the RSI and stochastics 50% levels are lost to indicate more selling. Chart is agreeable to a sub 87 profile by the time the summer sun shines. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here or any links connected to this information. Consult your finanical advisor before making any investment decision.