As tempting as it may be, I would still resist the urge to bottom-pick the coal stocks here. As you can see on the weekly chart of KOL (ETF for the coal sector) below, that massive symmetrical triangle broke to the downside. Just as a huge technical base usually amounts to a riveting upside breakout when the bulls pull through, the same holds true for the downside carnage from a large base. In other words, I think new lows in the KOL are not only possible, but probable.
Also, while the KOL might be a bit stretched here and due for a relief bounce, individual coal former leaders like WLT look to be on the cusp of breaking down from a huge descending triangle.
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coal is free here…you just walk along the railroad tracks with a burlap sack and pick up as much as you want…