Zak Mir takes a charting look at two small-cap stories currently grabbing attention: Mast Energy Developments (MAST), which has just experienced what many are calling a rug pull, and Vast Resources (VAST), which has been consolidating and may be setting up for a continuation.
Below, I walk through the technical picture for each stock, key levels to watch, and the risks that could change the outlook.
As always, do your own research and treat these as chart-based observations rather than hard recommendations.
Mast Energy Developments — a dramatic fall and where it stands now
Mast has seen a very swift, sharp decline in market cap — in effect more than halving within 24–48 hours. The move was driven less by company announcements and more by a wave of online commentary and selling pressure. From a chart perspective there are a few encouraging signs, but important resistance remains.
What the charts show
- Share price retraced to the old August support zone around the upper 50p area and found a bounce there.
- The low traded right around the 50-day moving average at approximately 58p, forming a double-bottom-type structure with that previous August low.
- The short-term bounce has been decent, but the stock still needs to clear the 50-day moving average near 94p to signal a more convincing recovery.
Key levels and short-term outlook
- Immediate resistance: 90–95p (the 50-day moving average and the old October resistance sit in this band).
- Support risk: if the stock fails to break back above the 50-day MA, there remains a risk of a further retest toward the old target area near 60p.
- Interpretation: the recent drop looks like an overreaction in some respects, given the fast retrace to long-term support, but a decisive break above the 50-day MA is needed to shift the risk profile more favorably.
Vast Resources — consolidation in a rising channel, waiting for a breakout
Vast looks like a continuation pattern inside a rising trend channel after a previous spike higher. The consolidation over the past few months appears constructive, but a couple of technical confirmations are necessary for the next leg up.
What the charts show
- The stock has been trading in a rising trend channel, suggesting a bullish bias.
- It remains comfortably above the 200-day moving average (around 0.26p), which is a constructive medium-term sign.
- Price is also above the old April peak, reinforcing the positive technical context.
Breakout trigger and targets
- Breakout level: an end-of-day close above the June resistance trendline (around 0.36p) would be the primary bullish trigger.
- Momentum confirmation: the RSI is already above the neutral 50 line, supporting the idea that momentum is with the bulls.
- Initial target: a breakout through 0.36p would point toward the top of the June gap in the 0.42p area as a first objective.
Risks to bear in mind
- Fund raises are a common feature for companies at this market cap level — these events can dilute sentiment and pressure the share price regardless of technical patterns.
- Any fresh company news after a long consolidation can change the picture quickly; traders should be ready for volatility around announcements.
Key takeaways and what to watch next
- Mast: look for a convincing break and close above the 50-day moving average (94p) to reduce the risk of another retest toward the 60p support area. Until that break happens, downside risk remains plausible despite the recent double-bottom.
- Vast: the technical bias is positive inside a rising channel. A close above the June resistance (0.36p), combined with momentum staying above 50 on the RSI, would increase the probability of a move toward the 0.42p gap top.
- Manage risk: for both names, be mindful of corporate actions (fund raises, news flow) that can abruptly alter technical setups.
Disclaimer: The information presented in this article represents the views and analysis of the author and is provided for informational purposes only. It should not be interpreted as financial, investment, or legal advice. Investors should conduct their own due diligence and consult a qualified adviser before making investment decisions. Investing in AIM-listed companies involves risk, and past performance is not indicative of future results.
