Solid Chance These Names Lose Half Their Value over the Coming Year?
The technical set-up in the charts below look very appealing from a short standpoint – both companies face long-term channel and/or falling resistance lines.
Statistically, correlations suggest there’s a ~80% chance these names trade down over the coming year with downside potential ranging in the 25-65% zone.
Channel support for both come in at the high end of that downside zone.
What stocks are they, what industry are they in and what would it imply for the broader market if they trade lower?