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Wednesday, December 18, 2019

Europa Oil and Gas Plc price analysis: EOG begins a rally that may culminate in a Golden Cross


 Europa Oil and Gas shares (LSE:EOG) has started a strong rally in the context of an uptrend and that may result in a Golden Cross, i.e. when price crosses the EMA 200 to the upside.

4 EMAs are used for this analysis and they are EMAs 10, 20, 50 and 200. The color that stands for each EMA is shown at the top left part of the chart. From August till this month, price has been erratic and trending randomly in a clear downtrend.

While things are tough, bears had upper hands until December 2019.

However a brand-new rally has started and the market is now trading above the EMAs 10, 20 and 50, which themselves are also pointing upwards in support of the new rally. Price aims at the EMA 200, which may be breached any month from now. That would result in a Golden Cross.

The outlook on EOG is bullish, and the rally occurring in the market is clearly sustainable.


Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

Trading realities: Trading realities    
  

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