CMP trade ideas
CMP: The 8th Basic Metals Component In XME That Is WeakCompass Minerals International is a holding company, which produces and markets minerals, such as salt, sulfate of potash specialty fertilizer magnesium chloride and micronutrients. Co. also sells micronutrient products under its Wolf Trax brand. Additionally, Co. produces and markets consumer deicing and water conditioning products, ingredients used in consumer and commercial food preparation, and other mineral-based products for consumer, agricultural and industrial applications. In the U.K., Co. operates a records management business utilizing excavated areas of its Winsford salt mine with one other locations in London, England. Co. has two segments: salt, and plant nutrition.
CMP-is a component of-XME.
XME-has been weak for the past month.
I suspect the basic metals components in-XME (iron-copper-steel-zinc-aluminum) are weaker than the gold-and-silver miners.
For-CMP:
The indicator on the top of the page is RSI / Stochastic , and this is weak. Looks to be rolling over to the down-side.
The top middle indicator is vortex and it is positive (green over red), but don't be fooled. There has been a lot of short covering.
The Lower (bar-type) indicator measures the "phase energy" of the stock , and this is weak, now barely above zero during short covering.
The Alligator jaws have closed. This indicates loss in upward momentum and a likely change in trend.
Until these indicators REMAIN positive to the upside, and PRICES REMAIN ABOVE THE ICHIMOKU CLOUD, this stock is a sell.
My conclusion: basic metals stocks are weak. This weakness will cause ETF-weakness in-XME.
Good luck to you. Don.
