January 5, 2024 - Warrior Met Coal (HCC) is an "under the radar name" that mines non-thermal metallurgical coal used in steel production. Let's look at the charts and indicators -- you may be surprised like me.

In this daily bar chart of HCC, below, I can see that prices have climbed higher the past year. HCC has managed to double in price from its nadir in last January. Impressive for a name that has nothing to do with AI. Prices trade above the rising 50-day moving average line and above the rising 200-day line. Trading volume has become more active in the past four months and that is a positive for old-time chart readers as it suggests increased investor interest.

The On-Balance-Volume (OBV) line has risen the past year to confirm the price gains. The Moving Average Convergence Divergence (MACD) oscillator is above the zero line but correcting.

 

In this weekly Japanese candlestick chart of HCC, below, I can see a bullish picture. Prices have rallied the past three years and trade above the rising 40-week moving average line. The weekly OBV line is neutral but the MACD oscillator is very positive.

 

In this daily Point and Figure chart of HCC, below, I can see an upside price target in the $93 area.

 

In this weekly Point and Figure chart of HCC, below, I can see the same upside price target of $93 as shown on the daily chart above.

 

Bottom line strategy: Aggressive traders could go long HCC at current levels or on a dip to $61. Risk to $56. $93 is our price objective.

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