Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: Crimson Ghost who wrote (52716)	10/8/1999 7:33:00 PM
From: IndioBlues	Read Replies (1) \| Respond to of 95453

With all the discoveries in Brazil and the known reserves in Venezuela and Mexico, I wonder if we will see the emergence of a Latin bloc to counterbalance OPEC?

To: Crimson Ghost who wrote (52716)	10/8/1999 9:57:00 PM
From: marc chatman	Read Replies (2) \| Respond to of 95453

<<but does look like the bottom is in>> Famous last words. <g> The charts still look miserable, at least in my opinion. The last few days did some very serious (and, to me, unexpected) damage. And even if we try to look at all those "hammers" on the candle charts as reversals, we didn't see the volume to indicate people have thrown in the towel. Moreover, the reversal pattern did not prevail throughout the sector. For each hammer, it isn't too hard to find a stock which closed near its low (VTS, VRC, CAM). Best case, I think, is a scenario raised by Gary today, suggesting a (3 wave) bounce, retracing maybe to the mid-high 70's, followed by another wave down to these levels. OK, that is a trading opportunity for some, although it is dead money for long term investors for what I would estimate to be pretty much the rest of this year. What worries me more is the possibility that these stocks (or at least some of them) are now indicating bearish trends, not simply corrections. Prior to the last couple of days, I would not have considered a scenario where the OSX could see new lows (i.e., 40's or worse). Now, though, I can't totally dismiss it. But I suppose if there were no risk, everyone would be rich. I noticed something funny, though. The charts that seem best positioned for a turn soon are the really beaten down issues like GLBL and FGI.

To: Crimson Ghost who wrote (52716)	10/9/1999 11:15:00 AM
From: William JH	Respond to of 95453

I listened to yesterday's Maxwell interview very carefully this morning from a tape. To me, he sounded quite positive on the future of the oil industry. Some quotes, though not verbatim: "OPEC is reconsidering the 5mmbpd cuts. In November there will be a meeting between Venezuela, Saudi, and Mexico, and they will probably propose to OPEC that they open the taps a little." "Oil prices should stabilize around $20 for the long term." "The history of OPEC is that they tighten too much, creating a 'disastrous cycle'. They are trying to preempt that by finding a middle area of $20bbl, and setting production to maintain that." "If they do that, it will give confidence to oil companies to invest, and confidence to investors that they are off the roller coaster. It has wonderful potential." Q: So how do you play it now? "Oil prices always overrun the target, they may go down to $17, which would be a perfect entry point, probably in early November. If OPEC shows they can stabilize this market, there will be a huge renewal of confidence for the oil industry after that."