SUNCOR: Leading Energy as Predicted; Solid 2020 Ahead
As I expected, Canadian Energy is off to a fairly nice start in 2020, led by Suncor (SU) and Canadian Natural Res. (CNQ). While CNQ started gaining momentum in late 2019, SU has finally caught up. Don't forget about smaller stocks like Tourmaline (TOU) - however, expect volatility in a big way when trading 'cheaper' energy stocks, but the overall trend is up.
In the long-run (2020 and 2021), both charts for SU and CNQ look quite promising with an eventual strong break-out to the upside, however this strong upside may take 12 or more months.
My target for SU by the end of 2020 into early 2021 remains at about $55 (conservatively optimistic), and the buy-point is a 2nd re-test off the 45 level if one has not entered already.
Importantly, be prepared for volatility throughout the trading sessions almost everyday as the energy sector has IMMENSE short interest, so do not lose hope if your stock moves up and down 1 or 2% to the up and downside within hours but dips will be bought throughout the day or subsequent day(s).
- zSplit
In the long-run (2020 and 2021), both charts for SU and CNQ look quite promising with an eventual strong break-out to the upside, however this strong upside may take 12 or more months.
My target for SU by the end of 2020 into early 2021 remains at about $55 (conservatively optimistic), and the buy-point is a 2nd re-test off the 45 level if one has not entered already.
Importantly, be prepared for volatility throughout the trading sessions almost everyday as the energy sector has IMMENSE short interest, so do not lose hope if your stock moves up and down 1 or 2% to the up and downside within hours but dips will be bought throughout the day or subsequent day(s).
- zSplit
