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Canadian Solar (CSIQ) - Consolidating After Bullish Breakout

Solar company Canada Solar $CSIQ is poised to make a recovery after falling from heights of around 44 in 2014 to lows around 10.40 by the end of 2016. The daily chart below shows that in the past year, price action was consolidation that may have become a price bottom.

CSIQ Daily Chart

(click to enlarge)

Price Bottom:
- Looking at the daily chart, we can see that price has been sideways since late 2016. 
- There was resistance around 16.0, but price broke above this in the summer of 2017. 
- Now, price is consolidating around this resistance. 
- Basically we do have a broken price bottom, but the market is not ready to recover. It is however saying that the market is done with the downtrend. 
- Note that price has come up above the 200- and 100-day simple moving averages (SMAs). The SMAs themselves have crossed over, signaling bullish reversal. 
- Finally, the RSI has tagged above 70 and held for the most part above 40 in the second half of 2017. 
- These are all good signs for a bullish recovery, but a break below 14.85 might stall this outlook. A break below 14 would likely be part of a bearish continuation, and the 2017 bullish breakout would be assessed as a false breakout.
- On the other hand, a break above 18.15 would confirm the bullish outlook, which opens up 20, 22.50, and even 30.00 for 2018. 

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