Emerald Oil, Inc. (EOXLQ)

[JC4033]

Take heed, small cap crude sector pretty much down for the day. There is a filtering process going on since late December, and some getting hit harder than other. Most of the oil small caps got lots of revamping and structuring and trying to stay afloat financially. Following examples of big cap by cutting labor costs, decrease production and making new deals with lenders. Only a handful of small caps will survive the financial disarray and if they do some already making deals with lenders at a higher percentage rate. It does not mean that if one stays out of harms way today but higher rates can kill long-term. Diluting would be fatal to the shareholders. I believe a couple more months of uncertainty. Again, got to follow big money and is a great opportunity to make good money when the sector recovers and am willing to settle for a 25% to 35% return when it does happen.

Good Luck and always by the dips!