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Chariot Ltd (CHAR) Shares Have Formed a Bullish Continuation Pattern. What’s Next?

Updated: 9 Jul 2021

Shares of Chariot Ltd (LON: CHAR) have formed a W pattern on the daily chart below. Can its fundamentals fuel a rally higher?

The oil company’s shares have been falling since hitting a high of 10.9p in early February as sellers remained mainly in control of its share price.

Chariot shares crashed lower in late May after the company unveiled a plan to raise to $18.8 million via a discounted share placement, pricing each of the new shares at 5.5p each.

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Current shareholders were not pleased with the dilution of their current holding, leading to the massive drop in the oil company’s share price following the share placement.

From a technical perspective, Chariot’s shares bottomed following its full-year 2020 audited results on 25 June 2021.

Some of the reports highlights include the company’s rebranding into Chariot Ltd, dropping its previous name of “Chariot Oil & Gas”, with the company now operating as Chariot Transitional Energy.

The company shifted its entire focus to Africa and is building an Africa-focused transitional energy group with two operating businesses, Transitional Power and Transitional Gas.

Chariot is now focused on developing its Anchois gas project in offshore Morrocco while building a transitional energy business focused on providing clean energy solutions within Africa’s mining sector.

Bullish swing traders might find the current setup quite attractive given that it offers an excellent risk-reward setup. Always use a stop-loss order on your trades and trade with money you can afford to lose.

*This is not investment advice. Always do your due diligence before making investment decisions.

Chariot Ltd share price.

IG chart of Chariot share price 09-07-2021

Chariot Oil shares have formed a bullish continuation pattern. Can they rally higher?

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