ENEL (1W) Pottential reversal for Enel during winter ?

Hello Folks,

Seems like Energy Sector is attractive right now.
Looking at many European companies (Producers and Electricity Suppliers) could reveal interesting bets for mid-term // or several months during Winter.

ENEL is one of Such companies. Need to dig deeper into Fundamentals. BUT for now considering Technical Analysis of Chart. Seems like Stock is down 50% from last year top.
A) If it Holds price around 4.5 and turn up. It could be last impulsive wave UP (Wave 5 of bigger TimeFrame). Which could last 6-12 months. = Back to Price around 9.
Right now the stock can be Attractive with Forward Dividend at 7,71%.
P/E at 16 is probably too expensive (Compared to CEZ at 11.7, which should be way better company)

B) If it drops below, it means Overlaping of waves marked as 1 and 4. (Forbidden in Elliot Wave theory. So it would be completely different structure and its better to stay away.
It could drop to the bottom of GREEN long-term channel at 3.5 or even deeper.

For now I Will not enter position, but will dig deeper into fundamentals and certainly let you know very soon.
Let me know if somebody follow this company or other European Energy companies ;)


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