We covered Velocys (LSE:VLS) just over a week ago after it received government verification of its Renewable Identification Numbers (RINs). The RINs were produced at its joint venture ENVIA Energy’s plant in Oklahoma City and are an important step to progressing the project.
The market liked the news, with the share price rising 30% to just under 18p, but there was a subsequent sell-off as traders took profits. Today, the stock has touched sub 11p and is offering another opportunity for entry to those on the sidelines interested in this renewable energy play. Support appears to be around 10.6 with an all-time low of 9.3 being the last stand should it be required. The stock gapped down from 21.5p on news of January’s heavily discounted placing, offering a potential gap fill to target.
Author: Stuart Langelaan
Disclosure: The author of this piece owns shares in the company written about above