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First Quantum (Friday’s close $17.55) declined from $23.05 in mid-2018 to $9.45 in early-2019 (A-B), had a recovery rally to $16.63 (C) and then settled in a bullish Inverse Head-and-Shoulders pattern (solid lines). The recent rise above the neckline of this pattern (dotted line) signalled a breakout and the start of a new up-trend (D).

Behaviour indicators including the rising 40-week Moving Average (40wMA) confirm the bullish status. A minor correction toward $14.00-14.50 would provide a better entry point. There is good support near $12-13; only a sustained decline below this level would be negative.

Point & Figure measurements provide a target of $19. The large Inverse Head-and-Shoulders pattern supports higher targets.


Monica Rizk is the senior Technical Analyst and Ron Meisels is the president of Phases & Cycles Inc. ( And he tweets at @Ronsbriefs. They may hold shares in companies profiled.

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