First Quantum Minerals Ltd. has been trading below a long-term falling trend-line for over two years (dashed line). The stock appears to have found support near $15-$16 (shaded area) and has been trading above a rising trend-line for the past seven months (solid line). In addition, the 40-week moving average (40wMA) recently turned upward.
A sustained rise above $20.50-$21 would signal a breakout above the long-term falling trend-line and above the minor resistance at around $20. Only a decline below $17-$17.50 would be negative.
A rise above $20.50-$21 would signal Point & Figure targets of $24 and $27. Higher targets are visible.
Monica Rizk is the senior technical analyst for Phases & Cycles Inc.(www.phases-cycles.com). Ron Meisels is a contributor to thewww.NA-marketletter.comwebsite and Tweets at @Ronsbriefs. They may hold shares in companies profiled. Please see the site for a glossary.