ACI

ACI - Arch Coal

• Daily showing higher lows while consolidating beneath 200dma and $20
• Majority of shorts are underwater from beginning of this rally from Beg. of March.
• Short interest is 11% float but increased 57.4% from End of Feb. to End of May
• A break of 200dma of 19.36 and $20 level would make shorts nervous and cover.
  
• Fundamentally, just heard on CNN over this weekend that China opens 2 new coal fired electricity generation plants every 7 days.
  
• Sympathy plays include not limited to: JRCC, MEE, PCX, FCL