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

To: waverider who wrote (22944)	5/27/1998 10:46:00 PM
From: drsvelte	Read Replies (1) \| Respond to of 95453

<OT>Off to smoke a cigar and have a Guiness. Man, you drinkin' dat brown beer still, yeh? Get youself to dat 7-11 an make love wid dat Schlitz for $2.79! Now Cher, if you smokin' Davidoffs, we kin be kin!

To: waverider who wrote (22944)	5/27/1998 11:06:00 PM
From: Barry Cartwright	Read Replies (1) \| Respond to of 95453

Last trade on ESV was 47000 shares at 25.125 (uptick) Last large block on NE was 10300 shares at 29.875 (downtick) Some notes by a more bullish investment house: Natural Gas (may 26) Pricing: Our index of natural gas prices for '98 closed last week at $2.11 per thousand cubic feet (mcf), a decline of $0.04 per mcf from the week before. The near month (Jun) futures contract closed last week at $2.09, $0.08 lower than a week ago. Our index for '99 dropped $0.02 per mcf to $2.26 during the pre-holiday week. Recently weak oil prices, below $15 per barrel again last week, and relatively high levels of natural gas storage injections contributed to the pricing declines. Futures market values for oil are in the $17 per barrel range for early '99 and natural gas futures show $2.63 in Jan '99 as an expectation for next winter. The upward bias in natural gas prices in the futures market is consistent with our analysis that natural gas demand growth of about 2.5%-3.0% per year is greater than the 2% increase in supply available to the U.S. market. Storage: Industry statistics for the week ended May 15, '98 show additions to storage of 92 billion cubic feet (bcf). This compares to 62 bcf in a similar week a year ago. Overall inventories are about 42% greater than a year ago and 81% higher than at the same point in '97. Recent weeks have shown higher than expected storage additions for this time of year which we have attributed to expectations of a hot summer with greater electric generation demand. Beyond weather, the outlook for higher electric generation demand is also aided by limitations on coal supplies caused by railroad delivery issues. Valuation & Performance: Outperformance of the overall market in 2Q98 and year-to-date was enhanced last week for EPG, which rose by 3% (up 8% in 2Q98, 15% y-t-d). Despite a decline of 2% last week, ENE continues to outperform (up 8% 2Q98, up 21% y-t-d). CG rose 3% last week for an 8% appreciation in 2Q98 (up 7% y-t-d). The pipeline/diversified distribution group is about unchanged in 2Q98 and up 1% y-t-d compared to the S&P 500 which has risen by 1% in 2Q98 and 14.4% y-t-d. Oil (may 22) Continued weakness in the crude market is a buying opportunity for oil stocks-not a deterrent. We reiterate the fact that the major oils have outperformed the S&P in every year following every quarter that oil prices averaged less than $17 per barrel. Many market watchers seem to have missed the fact that although the crude market has made little headway, the major oil stocks are outpacing the S&P in the second quarter and one-third of the stocks (mainly in international group) are ahead of the index for the year. There is a more upside ahead. While we started the year with the assumption that the oil market would right itself during the year without outside intervention, it now appears likely that a group of oil exporters (including OPEC members) will again cut production to balance upply-demand. OPEC's ministers meet June 24 to consider production cuts; low oil prices provide a keen incentive to act.

To: waverider who wrote (22944)	5/28/1998 2:00:00 AM
From: 007	Respond to of 95453

>Folks did you notice that on the charts today for most drillers there was a little spike... and at noon 15 components of the OSX went out for donuts?< Diamond, thanks for that TA. I didn't realize you were into chopsticks also <ggg>. We have more in common than just dark suds. IMO, the donut middle followed by the hammer close on SLB and HAL is particularly bullish. I agree about waiting for a confirmation, but do be looking for it tomorrow around lunchtime. Bon Nuit, OO7

To: waverider who wrote (22944)	5/28/1998 9:42:00 AM
From: RGinPG	Read Replies (2) \| Respond to of 95453

Yes, I think there is a very good reason for these stocks to take off, it is time. I got a few more scattered buy signals after yesterday's close: DO, NE, PDE, PKD, CXIPY, EVI, GMRK, GLBL, and SII. The rest of the drillers will have buy signals after today. And, I finally got a buy signal on the OSX. I believe the stochastics system is still valid, but as usual I jumped the gun and tried to get in before the big rally that usually occurs immediately after the end of the down cycles that occured in the past. I did the same thing back in March, but didn't pay as dearly for it back then. I think two factors prolonged and deepened the down cycle this time. #1) Oil fell 15% during the down cycle making it more severe. #2) A general market sell off occured at the end of the down cycle prolonging it a little longer than it otherwise would have gone. I'm very optimistic about today and next week. P.S. Some of my charts didn't update properly but I'm working on it. rgdoczzz.home.texas.net