The upward trend seems to be running out of steam. The downward trend could recover.

Fundamentals of the mining company show no real growth prospects for the coming years. Analysts from Thomson Reuters have revised downward their revenue estimates over the last months. Moreover, the consensus of analysts is mixed and their average target price offers no potential for the stock.

Technically, the security could run out of steam close to the GBp 1650 resistance. Indeed, the stock is moving in an upward trend in the short term but it could know a halt. In this context, the downward movement could improve and it should expect a return to GBp 1525. Indicators that show an overbought situation confirm this scenario.

Therefore, the proximity of mid-term resistance suggests a consolidation or a correction phase in the coming sessions. The most offensive will open a short position close to GBp 1650 to target a return on the GBp 1525 support. It should protect the position with a stop loss set above GBp 1650.