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

To: Lost1 who wrote (9874)	1/27/1998 5:01:00 PM
From: Thean	Read Replies (2) \| Respond to of 95453

Thread, The end of the day tanking across the board was like a stake driven into a bleeding heart. We already have some drillers making new lows. With the few driller earnings announcement coming up, e.g. NE, FLC etc. they have better come to the rescue quick or remember those numbers put out by PEngr. My biggest surprise and disappointment is the decoupling of S&P and crude price to OSX. This can signal something real serious. I would not bottom fish from here. Risk outweight reward short term. Jeff - regarding the IQC stochastics. This is the long stochastics. If we go according to its gyration, it means we have at least a week to bottoming before the next turnaround. I would not completely discount this but a clearer stochastics indicator is the short stochastics, with short moving averages. Second Opinion has it if you subscribe to it. The CBS and alpha chart sites may allow one to adjust the moving average settings. Asia - Demand flattening? Let's think about Asian's energy consumption. What sectors of the economic use most energy? Heavy industry like steel, auto-industry, gasoline, chemical? Well, we know most infrastructure projects are on hold in SE Asia, gasoline prices shot up like crazy because of their currency devaluation, people are losing their jobs because factories are closing down, people are told to grow their own vegetables because the country can no longer afford to import vege, the list go on and on ... Net, forget Asia for the next two years, very negative. Anyone claims Asia has no meaningful impact on energy consumption is a real idiot. Well said Thomas Miller - although Asia only consumes a minor share of the world energy pie, their consumption growth rate was the highest until the recent past. The rate of growth is the key to any future energy equation. Remember this. TA? They are losing steam and appear to head down. Let's see who can come up with a reversal argument. Can one make money in the drillers? Yes, but it's getting very difficult and it's been easier going short than long since Nov - a fact! I don't trade the drillers any more. I just let those I still hold fall off and rot until the spring arrives. I would go elsewhere other than the energy sector for the next 2 months to beat the odd, or until something totally unanticipated happens to the oil and gas fundamentals.