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.

Non-Tech : Invest / LTD -- Ignore unavailable to you. Want to Upgrade?

To: tdl4138 who wrote (7728)	3/11/1999 5:50:00 PM
From: pat pasquale	Read Replies (1) \| Respond to of 14427

dave'; my ? to board is if oil prices really are rising and will hold these prices when does that become a negative influence for the market, plus doesnt that raise inflation fears....higher oil prices must hurt not only airlines but what about any company that has to transport its goods...... just my contrarian thoughts good trading to all pp

To: tdl4138 who wrote (7728)	3/11/1999 8:18:00 PM
From: Thean	Read Replies (1) \| Respond to of 14427

Dave and Steve, I agree that this is not a headfake, just profit taking. A headfake would mean this rally has run its course and is heading back down to its recent low in 3 weeks. While it is possible if oil retraces back to $11 in the event of no OPEC cut, but that is too far fetch right now, at least not until more transparency from the oil ministers surfaces. Afterall oil price falls today. There is no reason why the drillers should not fall slightly accordingly. A better question is if this oil price rally has peaked. There is another $1 1/2 possible for oil to appreciate in the event of very positive OPEC news, like 2 million barrel a day cut. What priced in is 1 - 1 1/2 million barrel cut. Therefore, a broadbase selloff from this point while the actual OPEC numbers have yet to be fixed is asking too much. I would not short here. A better time for shorts is after the OPEC announcement, after people looking for other things to focus on. While I think CAM may bang head at $30 if no further fresh OPEC news come out next week, a selloff to $25 is unlikely. In short, we are merely in the churning period after a very sharp runup. There are more greed money about to step in so this thing is not over yet. I sold NE at the high and bought FGI near the low today. Picked up VRC as well. Still holding CAM and RIG. Strictly trading on the long side from here.