Coal Gets Smoked Again
Nicholas Santiago | May 25, 2012 01:53AM ET
Once again, all of the leading coal stocks are selling off this morning. This important industry group has been under pressure since April 2011 when the sector topped out. Today, the Market Vectors Coal ETF (NYSEARCA:KOL) is trading lower 0.27 cents to $25.95 a share. The KOL is extremely oversold, therefore, bounces are always possible. The KOL daily chart remains in a weak technical position and is vulnerable to further downside. Short term traders can watch for intra-day support around the $25.25 area should the KOL trade down to that level.
Some other leading coal stocks that are coming under selling pressure include Peabody Energy Corporation (NYSE:BTU), Patriot Coal Corporation (NYSE:PCX), Alpha Natural Resources, Inc. (NYSE:ANR), and Arch Coal Inc (NYSE:ACI). All of these stocks have similar daily charts patterns at this time. Any bounces should be viewed as temporary as the trend in these stocks is clearly down.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.