WTI $20 Target means GS is short oil Not too long ago when Oil broke below $40 maasive short positions were taken & then Oil bounced back with force trading close to $47. A big spike from the low of around $38 would have forced some short covering.
Goldman traget of $20 tells me that they are also short oil big time & are promoting their short position.
It is hard to believe that WTI will hit $20.00. One should never say never but I shake my head when I read the GS target. I have learnt over the years that one should be prepared for every possible scenario. Let assume the Oil does bit hit $20 but breaks below $30 for a few months. That alone will be very devastating for oil producers. Which means that oil stocks may experience another meltdown & new lows. C$ will take a hit & so with the Canadian economy. Best way to survive & take advantage of opportunities created would be to loaded with cash. One should have a plan for further melt down in oil stocks. There are different ways of dealing with that.
While I am not buying $20 price target for oil but am very open to the possibility that we might have multi year low oil prices where weak, expensive & highly leveraged oil producers will be wiped out. This process has not really started as most oil companies are hanging in & banks have a wait & see approach at this time. When their loans turn delinquent quarter after quarter & they have to make loan loss provision that is when ShT hits the fan.
What we saw recently was a dead cat bounce. It was tradable & time to sell. It is still not time to buy & hold. Even if you are a strong believe in a stock. Have a plan how to best take advantages of future weakness.
Personally I am mostly in cash & trade from time to time.
SGY buy back is in affective at this time and at these prices. They are buying very few shares which has bo bearing on the share price. If the oil prices are expected to dip further then it is a better strategy that they wait for bargain prices.
| Date |
Symbol |
Buy Shares |
Sell Shares |
$ Amount |
$ Amt sell |
Buy Trans |
Sell Trans |
Currency |
Comments |
|
|
|
|
|
|
|
|
|
|
| 08/24/2015 |
SGY |
96100 |
|
|
|
|
|
|
Not confirmed by TMX |
| 08/25/2015 |
SGY |
331100 |
23900 |
|
|
|
|
|
TMX data. Mismatch with Broker 11 |
| 08/26/2015 |
SGY |
18,900 |
0 |
41,776.00 |
0 |
16 |
0 |
CAD |
TMX confirmation. Matched Bk 11 |
| 08/28/2015 |
SGY |
25,000 |
0 |
69,000.00 |
0 |
1 |
0 |
CAD |
TMX No purchase by broker 11 |
| 08/31/2015 |
SGY |
6,700 |
0 |
20,569.00 |
0 |
14 |
0 |
CAD |
TMX. No purcahse by broker 11 |
| 09/08/2015 |
SGY |
31,000 |
0 |
89,316.00 |
0 |
37 |
0 |
CAD |
TMX confirmation. Matched Bk 11 Pur |
| 09/10/2015 |
SGY |
24,000 |
0 |
64,170.00 |
0 |
43 |
0 |
CAD |
TMX confirmation. Matched Bk 11 Pur |
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|
|
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|
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532800 |
|
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