China North East Petroleum Breaking Out

Shares of China North East Petroleum NEP are trading higher on the session by 5.26%, at $3.579. The name has been basing out for the past two months, but has now breeched the 50-day moving average. China North East Petroleum has also burst above the $3.56 resistance level set back in the beginning of July. This breaks gives the stock clear reign to run toward $4.00, which is the next major resistance level. Beyond that, $4.50 could be in play. Note that China North East Petroleum has 7.50% short interest. China North East Petroleum Holdings Limited is engaged in the exploration and production of crude oil in Northern China. As of December 31, 2009, the Company operated 289 producing wells located in four oilfields in Northern China