GREY:BXEFF - Post by User
Post by
CanadianBuckon Jan 26, 2016 9:05am
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Post# 24493288
An opportunity??
An opportunity??
Clearly there has been heavy selling pressure lately from the US side on BXE. Check the volumes. A large part of that volume has come from MOC sell orders at the end of the day. And of course Orange Capital, an insider has sold a chunk of stock recently. As Orange manages money on behalf of clients and possibly through many separate accounts, it is possible that the selling was a third party decision and may not reflect any change in investment stance from Orange. Of course we don't know for sure. So we are left with speculation. So here's mine... what we are seeing is either forced liquidation by some sellers or just capitulation by others. Probably a good environment to buy low. If you read BXE's last report, it is clear they are doing many things right and even with an uncomfortable level of debt are likely to be a survivor. Nat Gas prices will probably be higher next winter perhaps surprisingly so, given the drop off in supply we should see by then. A lot fewer gas wells are being drilled and a lot fewer oil wells (with associated gas) are being drilled. It is to late to be negative on BXE as the price is already reflecting all the negative scenarios. The risk/reward is good here for risk takers. JMO