It's a been a tough year for this blue chip. Our chartist sees if there's light at the end of the tunnel.
It's that time of year when the UK phenomena of pantomime used to rear its ugly head.
A fortunate side-effect of Covid-19 appears to be a lack of these, where often a celebrity is used to headline a filled theatre with a lacklustre show.
In some ways it's a pity, as Cinderella immediately sprung to mind when reviewing whatever Glencore (LSE:GLEN) is trying to achieve.
What's surprising about Glencore is, when we review their contemporaries - and the mining sector – Glencore’s share price should presently be trading around 225p rather than languishing below two quid.
Thus far, when it comes to price recovery, Glencore has not gone to the ball, nor even appears to know it's on!
This is a bit of a pity, thanks to the share price illustrating some really strong longer-term potentials, if it would only start actually going up.
Visually, there's something going on at the 200p level suggesting this may be a potential trigger for strong growth. But given Glencore’s often lethargic behaviour we're inclined to modify our usual criteria for a price movement.
I suspect this shall also require the FTSE 100 poised to join the fun. Only if the UK index exceeds 6,509 points while Glencore betters 220p dare we start believing some strong travel is coming.
In this game plan, we're able to calculate the potential of 284p making an initial appearance with secondary, if exceeded, working out at a distant 368p.
For it all to go wrong for Glencore, the share price needs to slop below 150p as this risks reversal to an initial 134p with secondary, when broken, at a bottom of 114p. The visuals suggest this is unlikely.
Source: Trends and Targets Past performance is not a guide to future performance
Alistair Strang has led high-profile and "top secret" software projects since the late 1970s and won the original John Logie Baird Award for inventors and innovators. After the financial crash, he wanted to know "how it worked" with a view to mimicking existing trading formulas and predicting what was coming next. His results speak for themselves as he continually refines the methodology.
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