Price-target: $20.00
Stop-loss: $17.74
Peabody Energy began its current uptrend in July, 2013. The lower trend-line has been confirmed various times, each time the price reached this line it bounced back upwards. The price is just over a support level. Today’s volume was lower than friday’s which is a bullish signal, decreasing price with decreasing volume signals that a reversal is imminent. The price is also around the S1 pivot line. One of the key factors that indicates that the stock will continue its rise is that the 200 SMA is serving as support as well. For the first time in over a year the stock is over the 200 SMA. I set my price target at around $20 because this price is around the R1 pivot point and around a previous resistance level. People tend to get excited with round numbers and I expect the price to reach $20.
Check out the full article at: fonzotrader.com
Follow me in twitter @trenchcapital
Stop-loss: $17.74
Peabody Energy began its current uptrend in July, 2013. The lower trend-line has been confirmed various times, each time the price reached this line it bounced back upwards. The price is just over a support level. Today’s volume was lower than friday’s which is a bullish signal, decreasing price with decreasing volume signals that a reversal is imminent. The price is also around the S1 pivot line. One of the key factors that indicates that the stock will continue its rise is that the 200 SMA is serving as support as well. For the first time in over a year the stock is over the 200 SMA. I set my price target at around $20 because this price is around the R1 pivot point and around a previous resistance level. People tend to get excited with round numbers and I expect the price to reach $20.
Check out the full article at: fonzotrader.com
Follow me in twitter @trenchcapital