Short selling opportunity !

Cabot oil & Gas Corporation is poorly graded by the Surperformance team. Indeed, the company’s fundamentals are in bad shape: Cabot is overvalued. Its revenues are expected to decrease by 34% this year and the Reuters consensus is very pessimistic about the EPS and the Revenues for the next exercise. We must also admit that there is currently no silver lining for the oil sector, as oil prices keep falling.

Technically, the share is in a significant downward trend. All the moving averages are decreasing and are still above prices, thereby preventing any rebounds. The security is going toward the USD 24.02 support, a level that will represent the first target for active investors. In case of a breakout of this support, the stock is highly likely to reach its second support at USD 22.88

This is why a short position seems opportune and active investors can open long positions at current prices. A stop loss will be placed above the entry point. If this threshold is crossed, this bearish strategy will be cancelled.