Bellatrix Exploration Ltd (Canada) BXEFF

RE:RE:RE:RE:Good Read S Alpha

[ERTguy]

I completely understand where you're coming from however they still have extremely valuable assets from which they will enter into a new year almost debt free and able to implement a growth strategy.  With the credit line still available they should be able to do this easily.  They may have to replace oil with NG however they also sold a higher cost asset and able to replace production with a lower cost asset should help offset any revenue they lost from selling off oil producing assets.  The fact is despite the discount they are still able to sell their product, and by the looks of things there's going to be some huge drawdowns in NG reserves over the next few weeks which should drive NG higher in the near term.

As far as the trend is concerned I see a falling wedge pattern on the chart which is usually a short term consolidation pattern following a big run.  The volume is diminishing here near the apex so I expect a continuation trend upward over the next few weeks.  Happy holidays.  Cheers