Resistance to break through is 2.44 from there we fight with the shorts defending their positions.... looks like 2.76 will trigger short selling, expect that shorts will defend this at 2.60 or so.... 900,000 shares available to short as of now
If the HRB JV has similar valuation as Barnett, these resistance levels will disappear until $4 or $5 range. Just do the math, Toyko Gas bought 25% stake of Barnett for $485mm, so as of right now the Barnett value ($485mm x 3 = $1.46 billion) and the Sand Wash Basin and the West TX properties cover all the $1.9 billion debt and then some. The HRB is all gravy to the valuation and market cap. Let's just say KWK is paid $400mm for 25% stake in HRB, that alone doubles market cap and puts KWK at almost $5 per share. News could be released any day, this is supposed to be a QTR 4 event. And we could get a surprise with a West TX JV as well adding to the upside. This is all aside from Discovery LNG terminal on Campbell River deep water port currently in motion.
Someone shoot holes in my theory here. What am I missing and how is KWK still at $2.45?? Is this THE most undervalued NG/energy stock there is??
2.60 is now resistance and 2.40 support...we are moving somewhat freely between those levels...we need to break 2.55 with conviction to get past 2.60, NG is moving up so that will help us long term...short term everything continues to point north technically...