CEDC, CNX, UVV, WLT Among Our Charts to Watch
by Harry Boxer, www.TheTechTrader.com
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As the market comes down we continue to go over some ideas on the short side and the Boxer Shorts that look most appealing.
Central European Distribution Corp. (CEDC) actually was up a few cents today. The overall pattern shows that the plunge in April and May, followed by the consolidation in May and June, led to the recent pullback and takeout of support. The bottom of the channel now looks like this stock could be in the mid-teens at some point.
CONSOL Energy Inc. (CNX) also broke out of a bear flag to the downside. It was unable to rally today, down another 60 cents, and is in a freefall after finding resistance at the declining topsline and moving average. A move down to the 29 range could be forthcoming, as the channel bottom and lateral price support are in that zone.
Universal Corporation (UVV), after cracking hard in May, has been going sideways in a bear wedge, and any movement that breaks this pattern could result in a move down toward the low 30s, my next trading target.
Walter Energy Inc. (WLT) had a massive head-and-shoulders top similar to the indices we’re looking at. It had a breakaway gap to the downside Tuesday, with a follow-through today, down another 1.67. Short-term trading target is around 50, support at the lowest lows of last year.
Other stocks on the short side highlighted tonight are CF Industries Holdings, Inc. (CF), CareFusion Corporation (CFN), Dril-Quip, Inc. (DRQ), Google Inc. (GOOG), Jinpan International Ltd. (JST), MicroStrategy Inc. (MSTR), Priceline.com Incorporated (PCLN), Unisys Corporation (UIS), WellPoint Inc. (WLP).
