Thursday, August 10, 2006

Massey Energy Company NYSE (MEE)

MEE has fallen out of its bearish H&S top and, on a measured move basis, has another 10 points of downside left. However, on July 28th it capitulated and has since tried to rally. It may be forming a bullish flag pattern and, if successful, could attempt to retest its bearish gap resistance just above. If you are currently breaking even on the trade, you need a close below $25.oo to solidify your short and see a resumption of the downtrend. The markets appear very weak at this point so you may get a resolution in your favor as early as tomorrow.

Good luck!

2 comments:

AJ said...

Hi Jamie,
Thanks for covering this stock. 25 seems to be holding up as good support for it. If it doesnt close below it in the next few days, I think I'll have to close it.
Regards,
AJ.

Jamie said...

You're welcome AJ and good luck!