On April 26, 2012, we posted an article titled “A Warning For Chesapeake Energy Stockholders”. In that article we said the following:
“While it appears that Chesapeake Energy (CHK) has seen all the punishment that could possibly lay ahead, we’re concerned that the previous technical pattern in the period from 1993 to 1999 is about to repeat.”
The period from 1993 to 1999 saw (CHK) decline from as high as $27 to under $1.00. The 2012 article was written when CHK was at $18.10 and had already fallen more than –66%. So far, CHK is on track to replicate the decline achieved from 1993-1999. The next downside target for Chesapeake Energy is $4.50.
