We are thinking along parallel lines. More importantly--- we're executing.
It seems to be natural for the trader side of a stock investor's brain to operate in at least two or more distinctly identifiable areas. To name just a few:
1. Preserve capital by derisking whenever possible.
2. Always be watching for the unusual as such opportunities will emerge.
3. Know personal emotional limits and carefully integrate daily.
4. Work within personal boundaries deemed financially sound.
5. Treat strong gains as you would a newborn child, always safeguard!
Over these past two weeks (beginning with June 1st), I added 4,000 NGL units. Right to the penny, my cost basis on these units comes to $11.00. Two weeks of accumulation has thus produced an overall gain of $5,400.
Even I am surprised. And that tells me I need to refocus somewhat. None of us can afford to leave things to chance when there's more control to be had. I should never be surprised by my own personal effectiveness. So I'm realizing that while I took advantage of price point swoons, I also got lucky, no doubt about it. And the recent spate of Seeking Alpha articles on NGL's looking like a ripe plum to be plucked? Those are no more than icing on the cake.....pretty for sure, but they fail to pinpoint reasons to accumulate for the hard-core loyalists among us.
So now I sit back reflecting on where to go next, adding things up as best I can. Two things in particular stand out to me:
Units purchased this month are already 21,36% ahead. Annualize this (24 half-months being the multiplier) and we recognize well more than a 500% gain. This tells us just a tiny bit of the promise locked up in NGL. Toss in the market's likely reaction to news of the deployment of the propane sale money dramatically reducing indebtedness and I believe a $2 surge per unit is possible. Factor in additional stakes in the water division expansion plans ought to be good for another dollar plus.
This spells $3 just on these items and doesn't account for day-to-day execution or additional non-core related asset sales further strengthening the balance sheet. And $3 means there's another easy 24% in the process of being unlocked being as it's virtually assured.
Thanks for listening!
