UAN has reversed out of a bearish trend on a higher timeframe It is now ready to take off after forming this slanted double bottom along the strong uptrend on current daily timeframe This upward expectation also allows for the suggestion of a Megaphone structure Bullish
Great chart and comments. Strong Seasonality period from 17 November to 31 December every year ( Seasonax)@ 80% of time.Thank you
axisofadvance
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Third time's a charm and so I absolutely think UAN will re-test the support you've identified post Q3 earnings (Oct 31). Due to the retrofit of both plants, capacity had been reduced, which of course will ultimately impact the bottom line. Given that UAN distributes all its FCF, this will result in a Q3 distribution that will at-best be half of the Q2 distro ($5 vs $10). This will undoubtedly be reported as "UAN cuts dividend in half", which should result in a sharp drop, possibly even a sustained one, following earnings. Long-term (and over the next two quarters), it will absolutely fly, but most definitely not from here and not direct.