I can't find a ligitmate reason for such a big drop. Fundamentals for gas getting stronger and the company has had some pretty good news lately. You got to believe it will quit moving in tandem with broader mkt at some point.
Here are some discouraging points that are eating at me to explain the continued fall of our beloved energy stocks. Unfortunately, I don't see an end in the short term as the "shorts" are in control.
Markets down big
Congressional kangaroo court (whoever is right, no one knows there)
Natural gas tried to peak past $6 twice in last month or so. Both times have been hit hard and is not down below $5.25 (ouch)
Prospect for much warmer weather than desired in next few weeks up north after Accuweather drastically increased projected temperatures for such cities as Chicago, Pittsburgh, Etc
Government will not accept and acknowledge that NG is a perfect (about our only choice) as a bridge fuel to use for 20 years to reduce foreign oil imports until wind / solar / politicians hot air, etc take over. Thus, increased production from new wells with no new industrial demand could be devastating to us and our investments.
Government leaders hate "oil" companies. They associate NG with "oil" companies. Thus, we are fighting an uphill battle to not be squashed in their race to nationalize any industry that is a threat to their long range plan.
Possible market manipulation by hedge funds to drive our sector to its knees knowing all of the above facts.
This is a short list. Problem is there is likely to be more problems lying ahead.
You forgot the blind ignorant government that is trying its damnest to take us into the african stone age. I just do not understand why the government wants to send money over seas to foreign countries that dont even like us. If we could convert over to nat gas 10's of thousands of jobs would be created.
Nice post. This is a great trading stock. Everyone should be playing the cycles. And from your previous post-- where you side "time to buy" I thought you were trading and playing this treasure.
The original push from the previous $22-$28 run was the news of the TOTAL deal. The big money moved in and lapped up the trades to $26. And than momentum traders came in and continued the run to $28.20 (was that the inter-day high a couple weeks ago? Whatever. Volume fails with the price and we are waiting for other "news" to buy.
I bought MORE at $26.10, knew it'd drop more but what the heck. Don't expect to catch a falling knife and will be happy to trade back out for a 15% gain over the next 30 days (maybe 60 at most).
Don't get to do this always but 15% every quarter has always been enough for me. And with CHK can do this regularly. The angst comes from expecting more- always more. Not worth the aggravation.
I don't care what lows are, just be in the middle and take percentage.