GDay all, Are you looking for the next Oil & Gas plays which are still under the radar? Well, here are perfect two, specially delivered to you this morning by JL :).
SGY Quick recap of foundamentals: 40-100bcf high impact low risk appraisal wells,spudding 13 Jan. 2ml cash+producing wells+owning gas plant/pipeline,20ml MC @ 10c. (check PLMs post 8553, http://www.hotcopper.com.au/post_threadview.asp?fid=303&tid=1081105&msgno=8559#8559).
Charts: Yesterdays VWAP=12.8c, SGY closed at year high of 12.5c, which is a major major resistance level. And I especially like the look of the super bullish MACD crossing & positive divergence breaking MACD diagram high, signalling continued strength. MACD crossed bullishly into positive territory as well, signaling upward momentum to continue.
Volume: The surging volumes last week IMO were mostly from smart money & big player buying, getting set ahead of DTers & of course the herd. So yesterday seems to be only Day 1 of DTers taking positions & that coincides well with still remaining 2 days till spudding. The significant shareholder selling notice is a concern under normal circumstances, but I think its rather bullish in SGYs case. All selling was already done last week & I personally watched when about 5-6ml shares on offer got taken in one-two hits. Then I had no doubt someone significant wanted in & the major shareholder selling looked more like organized transfer to allow new player in.
GBP Foundamentals: 25% interest of 100ml barrel potential, spudding 1 Feb. 32ml MC with 25ml cash+producing wells. Oil majors Heritage & Tullow drilling nearby. 96% success rate (see Post 7954 by PLM, link: http://www.hotcopper.com.au/post_threadview.asp?fid=303&tid=1065972&msgno=8507#8507).
The area that GBP is drilling C Lake Albert Basin hosts a staggering minimum 6BL(!) barrels of oil potential (see post 4921418 by Solarfeen, link: http://www.hotcopper.com.au/post_threadview.asp?fid=1&tid=1080746&msgno=4921418#4921418).
Techinicals: after rising from recent low of 15c to high of 21c, GBP has completed 61.8% fib retracement at 17.5c after 4 days of selloff. It appears to be resuming uptrend again with smart money & some traders seem to be taking early positions in anticipation to the huge spudding. If it wasnt for the little 100k sell at the end of yesterday at 18.5c, we wouldv had a tri-star formation ended with a Dragonfly Doji, both of which are reversal signal to suggest the temporary disruption to upward momentum is over.
Will post about other potential DT plays: RTL, ORD & PNO later
