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

To: Think4Yourself who wrote (58698)	1/19/2000 11:11:00 AM
From: SliderOnTheBlack	Respond to of 95453

"Q" - we shall see on a "miscall" on FGH's open; actually I am selling into it... I sold just a bit yesterday - at $5 7/8ths , some more this am & am looking to buy back a bit cheaper. A 5% lower "buy-back" is a 10% daytrade on margin - nothing to jump on the table about, but nothing to sneeze at either. I expect FGH to have over a 10% intra day swing today, if not as much as 15%... I'll take a 5-6% piece of that x 2 on margin for a 10% daytrip. I will sell through $7 - which I think we shall see soon; and if I can't "buy back cheaper than my sells" on a daytrading basis - I will hold some post $7 for any upside move their - targeting an avg sell @ $7 - which will be an 80% return overall - on margin. PS - Did SargeK really have any "choice" in sticking with FGH at $5 ? - remember; he posted he threw in his "LAST" chips on an earlier trade - & was hootin & hollering about buying in the $7's the days before. "IF" those $7 buys were on margin - the gap down destroyed working capital for a lot of FGH margin players, that they can NOT recover once lost - definitely a double edged sword. Low $6's would be a nice catch today - the news has to be worth at least a "half" bare minimum from yesterday imo. Selling today at $6 3/4's ( another big chunk leaves at $7 if seen) and looking to "buy back" at $6 3/8th- 7/16ths - which will be a margined 10% daytrade... no big secrets here. E&P's on an individual basis have some "huge" opportunities still sitting for the pickings... I am salivating for BHI at $20-$21's as well - a gift on a pullback. The valuation gap between it & HAL SLB is too wide here - this is a buying opp going into a retrace here.The accounting issue will be long, long forgotten in 4-6 mos when the 'patch really starts heating up - bank on it. Also; remember last Jan anyone ???? !!! We ramped then we got killed... when earnings end - given the allready accepted OPEC extension; what drives us here ? - especially; if the overall market keeps running ? - answer is only the crude oil & nat gas tapes - so watch them like a hawk. Volatility has not left us... this is still a "Trading" environment. - don't be afraid of taking profits here. I am margining "trades" and looking to be between 65-75% invested with 35%ish cash and lots of margin to buy into any retrace here. Some real interesting small cap situations coming up if commodity prices maintain here - they will "heal thyselves" through the next few qtrs... and THE STORY in micro's will be the Value they pick up in adding to proved reserves - hence the added borrowing capacity & NAV ! here is an example: <<DENVER, Jan. 18 /PRNewswire/ -- St. Mary Land & Exploration Company (Nasdaq: MARY - news) today announced net proved reserves, as of December 31, 1999, as reviewed by Ryder Scott Company, totaled 321 billion cubic feet equivalent (BCFE), a 74 percent increase from the previous year. Approximately 65 percent of the net reserves are from natural gas and 84 percent are classified as proved developed reserves. St. Mary recovered 24 BCFE of reserves from the December 31, 1998 reserve base as a result of pricing increases. A material portion of the increase in net reserves was attributable to the acquisitions of Nance Petroleum Corporation in June 1999 and King Ranch Energy, Inc. in December 1999. St. Mary issued a total of 2,925,681 shares of its common stock for these acquisitions, representing approximately 21 percent of its outstanding common shares after the transactions. The present value of estimated future net cashflow, before income taxes, of the Company's proved reserves was $357 million as of December 31, 1999. This value was based on unescalated prices, in effect at year-end, of $25.60 per barrel of oil (NYMEX) and $2.32 per million BTU of gas (Gulf Coast spot price.)>> I would look to load up on micro's on any retrace here - as lots of them will emerge from 1999 year end, with proved reserve valuations in much, much healthier financial shape- the exact opposite of 1998. - play this angle...