RE: RE: RE: CNQ is at major support $34
CNQ and Suncor always seem to be the poster children for taking a beating when the price of oil takes a dive.
Depending on what service you use, today's action could also have been the result of technical alerts. I trade CNQ from time to time and I use ScotiaMcleod and still have it set up to alert me, and after yesterday's close their automated alert system said that it had formed a diamond top with a downside target of 27.25-28.50. Could have been some selling solely based on technical alerts like that. The reality is that most never reach the target, and just to show how fickle they can be is that just over a week ago it highlighted a continuation triangle with an upper target of 42.25-43.50. When the U.S. and China fart in unison, you can't expect even a good stock to stay up when the market as a whole is dumping. Could have been margin calls, people selling one thing to buy something else, or just realizing that maybe their money needed to go somewhere else for a while. CNQ is still highly recommended and is a core holding in many fund manager's portfolios. Longer term, it will be churning out billions of dollar in free cash flow, which means equity growth and the chance possibly to turn into a good dividend play as well.
eebler