Post by
Lunchisforwimps on Feb 06, 2021 12:46pm
The big picture
I am long Kel but let some go into the BNN Calgary rumour of Lukoil consolidating the Montney. Then there was the Biden 2 trillion, opec cooperation and the cold snap. What’s not to like? I am up 90 percent. Kelt has been so good to me over the years. If you get the yin and yang right you can clean up on this stock. I cannot say enough.
On Friday I decided to let some go from my cold dead fingers. It just seems to me that these oil prices are ahead of themselves. These prices are at and would need to exceed pre pandemic levels. The demand picture is still sketchy with no real air travel. The luc oil rumour is sketchy. The cold weather will break. It just feels like much of the news is in for the next short while. I will buy the sold position back on a correction if the opportunity presents itself. If nott...oh well.
I could be dead wrong for selling any as this has a huge land position, Wilson and big reserves. Kelt risk has changed with the sale of Inga but has allot of debt free potential. The capital spending needs to ramp up.
One bad opec head line or resistant variant news and the traders will hammer oil. Weird times indeed. Thoughts?
Comment by
alta0264 on Feb 06, 2021 2:31pm
Couple thoughts. Never wrong taking some profit (though has been a hard one for me haha) and turn off the news.
Comment by
OGGambler on Feb 06, 2021 2:42pm
Commodity like oil with so much price volatility, you have to turn on a dime...
Comment by
alta0264 on Feb 06, 2021 2:50pm
Yes so maybe trade the commodity
Comment by
OGGambler on Feb 08, 2021 9:50am
POU is Kelt's closest peer in my opinion (especially with regards to land ownership) and the share price differential has widened dramatically the past 3 months (historically Kelt SP was around 60-70% of POUs and is now closer to 30%). Hopefully Kelt has an ace up its sleeve...