CHK is very overbought, seriously overbought.
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEitmw2e6WOA7PA9oLalwowyUNvyyY8f3ZniCNxN2mormueKZLDAf7PsD3bBp4PZr8sVu4NnyVP4Y5Gdu37jHmd1pCKcX1UwlsFjUYRpEbck3ieXbyymR5xgkNkfG0d3y-UmA7pTdW9lguU/s400/sc-1.png)
Then there is the weekly chart, which suggest a resistance area from before the collapse.
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh35UPidealvjtqS8zc-5U_ScfRyL48SFJgL2m_yxZXAFkc5_6oKPi14LLpuYYvDjAn0eAp9ahQ8F4UseGmOH4qFSdCSf8cZfxbnv624sD9LKgNICLXN4EhW-ZH06Y2UM7o373PGGsJxng/s400/sc.png)
Because of the extreme condition, I am playing the consolidation that needs to take place. This will be a very short trade, as I am fundamentally bullish on nat. gas, and look to cover on that consolidation. (At that point, I will most likely go long CHK again.)
Could pull back to mid 25, or even 23 (if looking at the 20 SMA from the weekly chart)
No comments:
Post a Comment