The WLT short-term Trade Setup posted on Friday has triggered an entry today on the pop above 2.30. I’ve added a couple of downtrend lines to this updated 15 minute chart, the first of which has served to act as resistance so far. Once/if we get a solid and sustained break above these intersecting resistances levels (the 2.30 horizontal resistance & the first downtrend line), prices will likely rip higher to at least the first target, which has been revised to the first of the 2.60 level OR the upper-most downtrend line.
Once again, this trade has the potential to morph into a longer-term trade, depending on how both WLT & the coal sector trades in the coming days/weeks. I’ve also added a second possible price target for this short-term trade at 3.20 (5 cents shy of the 3.25 resistance level). As of now my preferred target for this quick trade, assuming we get a breakout that sticks soon, remains T1 although that could be extended to T2 soon.
On a related note, BTU, another coal stock, has just broken above a similar 15 minute bullish falling wedge pattern earlier today & is currently backtesting the wedge from above.