RE:IMPORTANT-going below 200 day moving averageThis post makes a really good point. At least people are not arguing if there is or is not oil here. I think the indicators are quite strong. However, getting it out of the ground will be an entirely different story. Art did well before. I will agree the company crashed with the economy - something beyond his control. Nobody should be arguing about that.
However, here we may have another "event beyond their control". Ebola. And potential civil war or change of control. And a concern that whoever comes out of the smoke will not try to redo the negotiations to get something new for themselves. We are dealing with a region of the world where complaints of corruption are rampant. You read up on drilling in Liberia and it was ignored for years - because of civil strife. It has only been in recent years, with some building confidence in the political infastructure, that the big players have gone back into it. Now with Ebola, we have to be concerned that the fragile stability will hold. Exxon and Chevron are not pumping money into a play, regardless of how much oil is there, if they have any concern the government will not honour prior deals. So this Ebola is going to hurt XOP, until Ebola is under control and the marketplace sees that there is a government supportive of exploration and prepared to honour agreements. As in, no political strife or risk. We all just have to hope XOP can hang on that long and keep its 17%. And that the government honours the deals made in the past.