How will the termination of the Anglo American acquisition affect BTU's share price and trading volume in the short term? | BTU (Aug 19, 2025) | Candlesense

How will the termination of the Anglo American acquisition affect BTU's share price and trading volume in the short term?

The abrupt termination removes the most‑favourable growth catalyst for Peabody, so the market will react negatively in the near term. The ‑40 sentiment score and the “material adverse change” language imply a surprise‑driven sell‑off; historically similar M&A cancellations have produced 3‑6 % price declines within the first trading session, with volume surging to 2‑3 × the 20‑day average as investors unwind speculative longs and short‑term holders lock in losses. Expect the price to break below the current intraday support around $5.80 (or the 20‑day EMA) and test the prior swing low near $5.50, where a modest bounce could occur if the drop is an over‑reaction.

From a technical standpoint, the breakout is likely to push RSI into oversold territory (<30) and widen the Bollinger Bands, giving a clear short‑term entry for bears with stops just above the broken support (≈$6.00). Conversely, if the stock stabilises above $5.70 and volume eases, contrarian buyers could target the $5.50 level as a risk‑managed long, banking on Peabody’s solid core cash‑flow and the absence of any fundamental deterioration beyond the lost acquisition premium. In short, anticipate a downward‑biased price action and a volume spike; position accordingly with tight risk limits.