|
PureBytes Links
Trading Reference Links
|
Everything you say interests me. One of the most important things
to learn in this business is to have an open mind.
When gas was at $15, CHK was at $40. Now, gas is at $6 and it's at
28 but most production is hedged at $10. The hurricane projections
are for a similar year to last year and if even one of those storms moves
into the gulf, gas will surge again. Also, CHK swallowed up a
smaller competitor recently and those earnings will be accruable this
year. With gas at $6, how low can it go? I think $5 is
possible but that's about all and the upside is 4X that.
Ira, I respect you .. you know that .. I thought you were saying you were
short the stock but if not, I'm glad because I would have a lot less
confidence in my position if you were on the other side.
Thanks for all you shared with me and the rest of us.
Bob
At 05:16 PM 6/8/2006 -0700, you wrote:
Bob:
One other thing. The other reason that I
was looking for a retracement was that price reached its target of 40+
off of the 1999 low. The retracement has support at 28.75 which is
holding at this time. If the 26.50 level is broken there should be
support at 25.25 with a target low of 22.
Even at that price the stock remains in a
bullish posture. I am sure that if you are aware of how my system
works you know where these numbers come from.
Thought that these numbers might interest
you. Ira.
- ----- Original Message -----
- From: Ira
- To:
realtraders@xxxxxxxxxxxxxxx
- Sent: Thursday, June 08, 2006 5:06 PM
- Subject: Re: [RT] CHK update
- Bob:
-
- I am not on the other side of this trade. I have a projected high on the stock of 49 as long as it holds above 26. I have retracement support for the stock at 28 which is where it is now. If the 26.50 level is broken then I have the projection down to 22. I have a current upside projection for the stock, its first upside price objective of 37.75.
-
- Right now I have the retracement still in force. I would go long if it hits a new entry price for a continuation of the upside move.
-
- We have both been at this a long time. I have over 40 years in the business and I am still addicted even though I retired over 20 years ago. It is the varying styles that make the market. You have all the fundamental data that makes your trade a solid trade for you. When price moves to my entry price then it becomes a solid trade for me. Although we might be in at different prices both can be profitable and both will be comfortable with the trade we take.
-
- As I said before, good luck on the trade. Ira.
-
-
- ----- Original Message -----
- From: BobsKC
- To: realtraders@xxxxxxxxxxxxxxx
- Sent: Thursday, June 08, 2006 4:34 PM
- Subject: Re: [RT] CHK update
- I know how you trade Ira and just as you appreciate that my methods work for me, I'm sure yours work for you. I don't chase a bad stock down but if I fully understand the fundamentals of the company and if I feel most of the market doesn't understand them, I'll lower my cost basis as much as possible until earnings show what I already know. I'm trading this one a bit .. picking up a grand here and there but it's mostly a hold until the hurricanes fire up over the gulf. I just can't see it going as low as you talked about, ($25) .. it has a PE of 8.6 now. The CEO made a huge purchase in the open market at around $30 and I'm going to "bet" with him.
- It bothers me you're on the other side of this one but I've been at this for 35 years and I believe in my style just as you do in yours.
- All best,
- Bob
- At 03:59 PM 6/8/2006 -0700, you wrote:
- Bob:
-
- I never understood averaging in. It obviously works for you. I have had a sell on this stock for a while now. I posted what I thought earlier and it appears to be following that track.
-
- I very seldom, if ever, catch a low or sell a high. My motto has always been, "prove to me that you are going higher/lower and then I will put up my money".
-
- I look at fundamentals at times, but my system is a follow the money, price based system. Obviously your system works for you as you have been at it for a while and your calls have been very good over time.
-
- I wish you luck with your trade. I would need some price acton to tell me that it is going higher rather then fundamentals. I will continue to watch this one. Ira.
-
- ----- Original Message -----
- From: BobsKC
- To: realtraders@xxxxxxxxxxxxxxx
- Sent: Thursday, June 08, 2006 2:46 PM
- Subject: [RT] CHK update
- I bought 2K more of this at $27.90 today after Prudential lowered next year
- earnings by a few cents and some analyst that I've never heard of put a
- sell on it based on the charts but no fundamentals. I sold 1K at 29.30
- near the close and am now holding 5K. It's as if the Prudential guy
- doesn't know they sold 70% of the next two year's production at $10 and is
- basing his earnings on the spot price instead. Anyway, my cost basis keeps
- dropping and my confidence in the firm is undaunted.
- Hope everyone here is having a good week with all the volatility.
- Bob
- oh.. nice call on the market today Ben .. you did well I would imagine.
- No virus found in this incoming message.
- Checked by AVG Free Edition.
- Version: 7.1.394 / Virus Database: 268.8.3/358 - Release Date: 6/7/06
No virus found in this incoming message.
Checked by AVG Free Edition.
Version: 7.1.394 / Virus Database: 268.8.3/358 - Release Date: 6/7/06
__._,_.___
![]()
SPONSORED LINKS
YAHOO! GROUPS LINKS
__,_._,___
Attachment:
Description: Binary data
|