Fantastic Buy!
I been glued to the news. Looks like the EU is talking tough, saying it will not give the UK a second chance to negotiate their decision. This sounds like a bluff, but I like it. The vote was only 48% versus 52% so that is not a wide margin. They might even call for a recount. They will have meetings all weekend and come up with a compromise. This brexit will get reversed and things will go back to normal.
I just don't see how it is going to hurt CHK. Investors are going to look at this as a buying opportunity, especially as the day wears on and the stock don't drop much lower than $4.25. Unfortunately for me, my bank transfer to buy more shares will not get credited until Tuesday and maybe not until Wednesday. The bargains will be gone be then.
I'm stretch out on margin as far as I can go right now so I can't buy anymore, dammit!
It's just simple common sense that what happens in the UK is not going to have much effect on Chesapeake. It might lower crude but CHK is a natgas play based mostly on the weather and the amount of gas injected into storage each week. Looks like we are injecting at least 20% less each week than 2015. In which case we will enter heating season with the lowest inventory in 10 years.
Natgas is down to $2.65 but this is short manipulators trying to run gas down in premarket to scare longs. It has happen every trading day for the last 10 days. The way it looks now, natgas will finish the day in the green and crude will make a come back as the day wears on.
I think we'll get our answer of what the day will bring just as soon as the market opens. High volume and rising prices will be bullish! Low volume and falling price will be bearish!
