Kennedy Ventures (KENV): Saucer recovery towards 8p

Given that Kennedy Ventures (LON:KENV) is a company focused on the resources space, and that since President Elect Trump came on the scene early this month things have been under something of a cloud, it is all the more pleasing that the stock has held up. This is particularly the case given the way that as recently as July we suffered a wide gap to the downside through the 4p level. Since then the 4p zone became resistance as the shares attempted to regroup from the breakdown, with the added bonus that we were treated to a saucer and then handle consolidation resting at and above the 50 day moving average then towards 3p for September and October.

But it would appear that following this extended action we have built what could be described as an extended base of some seriousness, which may be enough to deliver moves as substantial as what we have already been treated to. The favoured destination at this point is regarded as being the top of a rising trend channel in place since as long ago as August. A retest of the post-April resistance zone at 8p could be on the cards over the next 2-3 months. This is particularly the case while there is no end of day close back below the 50 day moving average, now at 4.28p.