One dry hole that had oil shows but oil that was not of commercial quantity does not make the company a failure. AGR seems to be more at fault than HDY for much of the delay and problems encountered with the Sabu-1 well.

I suggest looking forward - especially anyone shorting HDY as the upside from here far exceeds the limited potential pps decline as we now see .79 print (temporarily, of course).

Exactly - there are few shares readily available for sale under .90. I don't have access to Level II, but if someone does, does it look like there are oodles of shares for sale at .92, .93, .95 etc.??

I doubt it. Some think HDY will revisit .70 and .56. Not me! Real volume will mean real pps increase. It's just a matter of time.

VERY FEW shares available at the ASK all day. This is the trend for the past 6 days and counting.

GLTA.

The daily short volume is a high percentage of the total daily volume. The shorts seem afraid to just let HDY trade on its own - they know the sellers are gone - if the curreny HDY price is going to stay under 1.00, the shorts know THEY will have to artificially keep it there. Many shareholders got out of HDY between February and April. Ray's updates have hinted at a potentially very bright future for HDY.

The shorts don't want HDY to reach 1.00 and keep climbing BEFORE the next milestone. But imo, they are playing a dangerous game holding HDY down at this pps. We have all seen how news can drive HDY up significantly.

All of these 200 and 300 share blocks that trade are ridiculous. Bring on the news Ray.

Catalysts are coming. 3-D results, potential PARTNERS (plural), and new drilling plans.

I'd say .88 is a buy.

Thanks. I'm holding 65,500 shares of HDY right now, so I'm a believer myself. All of it was purchased under 1.00 except for 5,500 shares.

OT: Chesterfield - do you own any HDY? If so, I'd be curious what you think of it these days.

I hold more HDY now than I ever have and am watching the BID and ASK action more closely than ever accordingly. IT IS RIDICULOUS to see 200 shares on the BID at .8722 and 100 shares on the ASK at .8746 (or prices similar to this). The shorts appear to be selling into the bid and destroying it daily for at least 2 weeks now.

When Ray comes out with knock down news, the BS short games will be squashed by buying that they cannot hold back.

The sooner the better. If anyone wants a big block of HDY shares, they better be prepared to buy above the ASK. Sellers appear to have vanished.

I just checked the premarket BID and ASK for JADA and there is a 200.00 ASK on JADA, no joke! Obviously, this is nonsense, but someething seems to be happening here.

The other day I accidentally entered JSDA instead of JADA and got a quote. The pps I saw reminded me of JADA in the good old days. Check JSDA and see what I mean. LOL.

GLTA.

Agreed Chesterfield and Randy.

GLTA.

I saw that too. Any guesses on what pps we might see in the event of a JADA buyout? It seems like minimal volume could take JADA to .10 very easily.

I saw that too. Any guesses on what pps we might see in the event of a JADA buyout? It seems like minimal volume could take JADA to .10 very easily.

"Time will tell . . . but remember, June saw a lot of volume, sandwiched between months that saw and are seeing very little."

I've had the same thought Rule - as early as tomorrow the shorts could become our best friend. The selling and dumping is over. They will not cover significant numbers of shares below the range we are currently trading in. Accumulation by many shareholders (and most significantly the insiders) tells me that short covering will help fuel the next real surge sooner than later.

Speaking for myself, I wouldn't want to be short HDY on the day a partnership is announced. I'd keep asking myself, WHY DIDN'T I COVER AT .87?

Long and strong.

GLTA.

Wake me up, when September ends. LOL.

I believe August is the earliest we will get big news.

Question to follow once one has reviewed these 3 previous trading days of HDY activity:

The morning after the Sabu-1 non-commercial announcement HDY did this:
Feb-16-2012 Open=1.12 High=1.47 Low=1.01 Close=1.44 Vol=33,475,400

The very next day it rebounded quite nicely off of the 2/16/2012 low:
Feb-17-2012 Open=1.42 High=1.46 Low=1.32 Close=1.38 Vol=7,708,000

TODAY HDY did this:
Jul-10-2012 Open=0.92 High=0.92 Low=0.85 Close=0.86 Vol=223,300

Here is the question:

Why would HDY rebound on February 17th and then 5 months later the pps is only near .90? What has fundamentally gotten so much worse than the Sabu-1 announcement itself? Abolutely nothing. In fact, things seem much better as far as the corporate business plan goes. Accordingly, this is why I say HDY is a screaming buy right now.

Another way of saying it is this - it could take next to nothing to get the pps back to the 1.40 range.

HDY is a screaming buy right now. That was me that bought 10,000 shares toward the end of the day at .889. All of these 100, 200, and 300 share blocks are meant to drive the price down.

The low volume today and yesterday is quite surprising, but my hunch is that many sideline watchers will soon wish they had grabbed shares on a day like today.

I hope no one is taking those tiny trade BS sells of small lots seriously. HDY flys to 1.00+ on any hint of news - it's just a matter of time (and not that far off imo).

Does HDY see 1.00 tomorrow?

GLTA.

This is a very bizarre trading stock - AND SOMEONE HAPPILY BUYS IN THE RANGE .035 to .045 almost weekly now.

They aren't getting my shares at that price.

.05+ looks more and more likely.

GLTA.

After hous sale of 100 shares for .82 is a pathetic attempt to scare longs into selling. To all sellers: Please sell some 10,000 share blocks at the open at .82 so I can accumulate them.



PRICE VOLUME EXCHANGE
17:31:29 t 0.82 100 NYE
17:10:04 t 0.9021 800 NDD
16:07:45 6 0.88 200 NYE
16:02:23 t 0.80 100 NYE
15:59:52 f 0.88 300 NLS
15:59:50 0.88 1580 NDD
15:59:49 0.8801 200 NLS
15:59:32 f 0.88 300 NLS
15:59:27 0.88 134 NDD
15:59:27 0.88 100 NDD

Thanks for the explanation.

.56 was a gift and under .70 was brief. Buying at the open tomorrow is a guaranteed gain of 20% or more within 60 trading days. Mark this post.

Are all of the insider buys of the past 2 months indicative of nothing?

Does the potential of HDY recovering millions of dollars in the AGR lawsuit mean nothing?

Does Blackrocks enormous bankroll (and potential) to buy as many shares as they want on the open market (especially at this level) mean nothing?

I'd buy even more at .70 if we see it, but I don't expect it to return, ever. HDY is not in a dead cat bounce.

If HDY stock is sooooo bad, can you suggest something better?

Serious question!

This shorting infomation from Friday explains a few things I have been seeing as I watch HDY trade throughout the day.

On Friday 7/6 for instance, the total HDY volume for the day was 525,763 yet the average shares per trade was only 513 shares and there were 1,023 trades on the day. (Source: profitspi.com) This site also provides other good information. If anyone looks into it, I'd like to know what they think.

The number of 200 and 300 share trades always seem more like shorting to me to sell into the bid, rather than buys or partial fills. It also seems like the shorting stops every day at 3:50 when the price starts to rise sharply. More importantly, shorting HDY now seems more risky than in past months given Ray's newest options exercise and catalysts that are on their way.

This should be an interesting week - and I'll be buying in 10,000 share blocks.

If AGR is not held responsible for the numerous cost overruns that they themselves created, it will not inspire other companies to
"get the job done right the first time in the future." I still think some HDY shorts are pals with AGR executives and I really mean it. I'll address shorting in my next post (my next response to another excellent Rule62 observation).

HDY vs. AGR is a most significant legal case and imo could change potentially change the oil industry.

Excellent post as usual Rule. Thanks again.

They own the rights to the concession for 4 more years. Given the discoveries other companies have made in nearby waters off the coast of Africa, I have to believe there is a ton of oil there.

I also believe multiple wells will be drilled SIMULTANEOUSLY at some point and that oil will be discovered in one well EVENTUALLY which will unlock the potential of HDY.

If they drill 9 wells and find no oil, then I would say the ballgame is over. As it is, we haven't even started yet.

It looks to me like we're about to see a volume increase and pps increase. The low volume today is unbelievable. I say we see .96 today.

.9113 BID ASK .9161

Excellent post Rule, and the shorts can't say you didn't warn them.

Agreed. I went all in to have 80,500 shares a while ago and Ray bought more AFTER me. HDY is headed much higher.

HOD is .9166. Looking awful (sarcasm intended).

The turnaround is just beginning.

GLTA.

What do you mean money flow? I am unfamiliar with this term in trading stocks, though I do see several green areas at the top of the chart that you posted as of late that were red areas going further back.

The volume is so low I don't know what to make of JADA any more.

Isn't it just possible that Blackrock will start accumulating as early as this coming Thursday? They are already the largest HDY shareholder and are significantly under water on their multi-million dollar investment here.

IF THEY WANTED TO, they could drive the pps up easily (as the bid and ask have had very few shares recently).

Never underestimate Blackrock. The Russell rebalancing is over. Did Blackrock buy those millions of shares? If so, look out above - they have a plan dependent on a much higher share price, not a lower one.

Thanks bugman - I couldn't have said it better.

I don't know why my belief in the stock AT THIS SHARE PRICE is under attack, but there have been hundreds of thousands shares of insider buys and options exercises in the past 6 weeks and Bank of America has been hired to facilitate a major deal. Remember, HDY ran up to 1.30 on the inital Bank of America PR. What I don't understand is the low of 1.01 the morning after the Sabu-1 disappointment PR and a trend much lower more recently. Insider buys fixed it though.

Ray once said HDY should be a $30 stock. What if he was only half right? $15 would make most of us happier than we are now.

I didn't want to tell my whole HDY story, but I will. I started TRADING it in 2006 and have taken gains of roughly $13,000 since. I currently hold 65,500 shares the most expensive of which are 500 shares bought at 2.59 back in February of this year. For the record, these 65,500 shares are more than I have ever held of HDY. My average is well under 1.00, so I am relaxed here. Shame on those who didn't take any money off the table when HDY was above $6 and $7 and the company didn't even have a drill in the water!

FRANKLY, Whether or not HDY ever gets a partner or finds a drop of commercial oil, I believe there is a substantial upside to the stock from here. I almost bought a ton at 2.03 right before the disappointing Sabu-1 announcement. I'm glad I did not buy more at 2.03.

I do not buy and hold ANY STOCK waiting for a jackpot. I buy low, sell higher, rebuy and sell again. If I'm lucky, HDY will open higher than any of my orders and I'll get filled above my ask - it has happened to me with other stocks dozens of times. Has it ever happened for anyone else? It also works with buying shares and getting an order filled below bid.

Help me out here Randy! LOL.

Yes indeed. I believe a reversal is underway. Enjoy.

GLTA.

Thanks Rule.

I wouldn't be surprised if Blackrock purchased those 10,000,000 shares after the close on Friday rebalancing day. If it wasn't Blackrock, I wouldn't be surprised if it was a wise short covering.

There is no reason for any selling right now. Enough weak hands have thrown away enough money to bring the share price under 1.00 in the first place. I smell news coming, the share price rising, loads of additional short covering, and bright days ahead.

Within 2 weeks, I think these days under 1.00 will be gone.

More Form 4s are likely on the way. Ray just put his money (AGAIN) where his mouth is. He suggested in the June 26th presentation to give HDY a look. He is doing a great job of convincing the market that he believes in the concession.

80,500 shares here. Wish I had the resources to add another 100,000 shares at this level.

Anybody know how many shares Ray holds now?

GLTA.

Absolutely. It's not a question of if HDY will hit 2.00. It is a question of when. From where I'm sitting, it will happen this summer in anticipation of a farmout deal with one or more partners.