why the sell off?, page-13

re: nwe >> going down to 7.5 cents I think there is also a reasonable premium already built into NWE’s SP for the Appalachian and Magnolia drilling. With a very weak energy sector at the moment, and oil/gas prices currently falling, it’s not surprising there’s some profit taking going on now with NWE. It has after all, held up really well while the rest of the sector has taken a bit of a hit.

I think oil will probably fall towards USD 44/46c a barrel and gas down closer to USD 6/6.2 which will keep the energy sector weak for a little while longer. However, if oil/gas prices fall below these levels, then watch out, all oil/gas stocks will take a bit of a tumble, even the good ones like NWE. I still have half my holding, but profit’s profit. The next few days will be interesting.

Mensa.