DiazAdrian

Coal can Perhaps Rest for a Day or Two

ICEEUR:NCF1!   NEWCASTLE COAL FUTURES
Coal has been on the rise and it is now at the same level as in 2012 before it collapse all the way to 50s in 2016. This prediction is a bit shabby, but I tried my best because this commodity has been supporting Indonesia's economy since late 2017, and another reason that this analysis is shabby because I'm not using the candle, I used Heikin Ashi in order to undertand the full movement of the price...

Anyhow, I do believe the price should normalize to 109 before it bounces back - why do I believe that it will bounce back? Because it's almost winter, hence the demand for coal will be higher for heating purposes, especially in the US and China. And the price will floats around 118.31, it may break - and if it breaks, hence there will be a new bullish trendline. January until March/April will be crucial because if the weather turns out to be colder than expected, hence it may as well be as high as 120 - 130 before it normalize with range of 100 - 120.
Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.