The continuation of a strong correction movement could drive the share on new lows.

The fundamentals remain very fragile. The security seems particularly overvalued relative to other securities in its sector.

Graphically, the share came to test the CAD 44.7 support area after stumbling on the CAD 50.4 resistance. A consolidation phase could take place on these levels and can lead to a downward phase in case of support's breakdown.

The various criteria outlined in our comments show that it seems judicious to make a short strategy on Bonterra Energy. The weakness of fundamental ratios and relevance of the technical configuration argue for a short selling with a bearish target fixed at CAD 44.7. A stop loss is set at CAD 49.3.