RE:TOU verses VII GenerationsTOU is trading bit on emotion today; fundamentally the numbers were good compared to their historical, but compared to VII the share price makes no sense on fundamentals; I'm guessing overall TOU is driven more by sentiment, more than anything, at least on daily basis; anyhow, enought about TOU ....
to your comment on sell off ... I don't know how VII trades historically, since I'm a new long in it, but seems to me, from watching daily trading last few days, that aside from the bounce on the Q3 reaction, VII is moving very much in step with WTI. Looks like there's a lot of liquidity in the stock, so it moves at just about every tiny WTI pivot on the one minute WTI chart. House positions seem to go in step - aside from the odd block here and there that appear to be either fund or retail trades, most of the daily trades are from houses like morgan, goldman, and of course anon, so to me this spells algo trades.
so, with above in mind, until some institutional funds flow strats happening again, we seem to be at mercy of WTI, never minding canadian fundamentals or relative value or any such
today for instance, this morning there were three 100k plus blocks changing hands (which may possibly be buyback, but that's just a guess), but aside from those blocks and the short term blips right after, we were right back to WTI trend, pretty much by the minute
that all said, until we see reversal in WTI, we might continue to trend downward - big question of course, when will WTI turn? Some seemed to think that $60.80 was gonna be a pivot point (thank you DHIRAJ on investing.ca who called it yesterday) and luckily this morning we hit just that. If WTI pivots here, it may bounce to $66 and I'm guessing VII would go right along with it, given the likely news vaccuum between now and Q4.
Time will tell, but meantime, if any of you longs are worried, I would be watching WTI more than any of the other measures. If new money does not come in shortly, net of any tax selling pressure, we are IMO at mercy of WTI trading pattern, despite it's large disconnect to VII fundamentals.
As for today only, WTI is trying to get off its low of $60.84. As I write this, we've had one bounce and one higher low at $60.95 since, which was re-tested and held half hour later and now we're trending up from there. If we break 61.31 then we might have a "w" and if we break 61.59 then we might have possibly a reversal on the day. If we reverse today, and given the macro with the OPEC meeting on the weekend, there's a chance this may have been the WTI short term bottom. Let's hope ....
GLTA