Stock: BSC
Company: Basic Energy Corp.
Support: 1.00 / 0.70
Resistance: 1.20


The stock floored yesterday, surprising on the downside and trending the same with almost all mining stocks. It is now on a 3-day losing streak and is on the way to fully correcting its initial rally this year.

Despite the massive selldown, BSC is still far from being oversold. Indicators are showing a spike in selling momentum as volatility continues to increase.

The closest and most reliable support is at 1.00 — a level that BSC could very well challenge later today.

All things considered, the stock still looks a bit too unstable.

Recommendation

Wait for the support to hold before positioning.

Cut loss.

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