– Centamin Egypt Ltd (CEY) is a Gold Mining Company within an established downtrend
– Even though both Gold and CEY are within a downtrend, KEY is the weakest performer as the ratio line between the two is still descending.
– CEY is resting on the historical support/resistance level around 80 – I’ll be shorting on the assumption that if this level breaks it could be quite significant.
– The target becomes a little tricky because not much price action has been seen beneath the 80 level until the 55 mark (which is clearer to see on the volue histogram on the 2nd
pic) so initially I’ll target 55 and assess how the trade develops if it ever triggers.