Transcanada is specialized in energy infrastructure in North America. The company’s businesses are organized around two segments: Pipelines and Energy. The Pipelines business is mainly composed of TransCanada's natural gas pipelines in Canada, the United States and Mexico. The Energy business includes: power Generation and Gas storage.

Transcanada is become popular at most, as the company charged of ambitious project of controversial Keystone XL pipeline (the Senate could vote as early as thrusday on a plan to fast-track the Keystone XL crude oil pipeline). The target of this pipeline is to transport crude oil from northeastern Alberta, Canada to multiple destinations in US, which Cushing oil hub in Oklahoma and proposed connections to rafineries along the Gulf Coast. This project will also minimize the “Cushing syndrome”, that is a oil’s storage problem. However this project ran into many complication, and at last the company plans to refill its application with the U.S. government in the next two months.

Since last August, the security is within a trading range of 40 and 44.5 CAD, even if the volatility is quite important. The moving average 20 periods is crossing that 50 and 100 periods. This technical pattern could push the stock towards the 44.5 CAD mid-term resistance. At this level another downward mouvement could start. Anyway the mid and long-term will be, of course, link to news about keystone pipeline. We suggest a long position on short period with a stop loss at 42 CAD.