Commodities prices are on a downward spiral and that includes prices of aluminum and steel as well. Let's take a look at our aluminum stocks of Aloca and Century Aluminum.
Aloca (AA) - Looking increasingly like it is in the midst of forming a H&S formation. A break of the neckline will confirm the formation and the start of a new downtrend. If you are long, i would suggest that you go to the sideline with your cash.
Century Aluminum (CENX) - Was that a double top formation? CENX gap down on huge volume 3 days back. CENX will be more volatile than AA as it is a small cap stock and is more prone to extreme price movement.
Finally a look at our Dow Jones and S&P 500 Index. It went up to as high as 155 points on Friday but it failed to hold on to its gain and gave back almost 100 points after an impressive job report. What does that tells you?
Aloca (AA) - Looking increasingly like it is in the midst of forming a H&S formation. A break of the neckline will confirm the formation and the start of a new downtrend. If you are long, i would suggest that you go to the sideline with your cash.
Century Aluminum (CENX) - Was that a double top formation? CENX gap down on huge volume 3 days back. CENX will be more volatile than AA as it is a small cap stock and is more prone to extreme price movement.
Finally a look at our Dow Jones and S&P 500 Index. It went up to as high as 155 points on Friday but it failed to hold on to its gain and gave back almost 100 points after an impressive job report. What does that tells you?
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