Just hang on. Coal will come back, but it will take another year or two. If you want to diversify a bit, buy also into NG and oil. I suggest XOM, DVN, and NOV (all of which I currently hold).
Long also JRCC and ACI.
high risk play possible bk in 2 years maybe less.
dont invest in the coal sector. have a look at solar HSOL
i own jrcc and have wtitten it off as a loss but my solar stocks are keeping me in the black.
Even the best traders can't be certain on exactly what a stock will do. And whether to buy or sell at a particular price involves many, many factors.
That being said, James River Coal has been turning the ship around. They have been losing money but management recently made a lot of changes including getting rid of some of the less profitable mines. They are still losing money but are losing less, and getting closer to being profitable again. One of the factors that have kept this stock so low is because there is a lot of fear in the US coal market right now. Obama wants to lower coal output and increase investments in renewable energy. Some question whether the coal industry will survive. In my opinion the coal industry will always be there it's just a matter of where the coal goes. Much of it is going overseas to developing countries and that's a concern to those companies who mainly make deliveries here in the US.
In conclusion I think that James River Coal is a sound company. Earlier this year, in April when the stock sank to $1.50, I commented in a post saying that it was just a temporary scare and that we would see this thing in the $3-4 range by this summer. Of course I got bashed and made fun of by people who thought that JRCC was headed for BK. A few weeks later it hit that $3+range, so I was 50% right- it did get back up there, but it did not stay there. I remember when it was at $3 a poster called it that it would go back to $2ish. I believed him at the time and sure enough, it's back under $2 now. Historically, anytime this stock goes under $2 it almost always crosses back over $2 within a fairly short amount of time. So when it dips below $2 I usually buy a few shares. There's no guarantee but if you consider everything I just said, it's reasonable to say that these sub $2 range prices are attractive for buying some shares.
I like JRCC, the just did an offering in June, so that is out of the way, it has not passed the 1.80 resistance for a few weeks now, after the last few days of accumulation, it sure looks like it will gap up soon. It is a commodity, so it will never be super exciting, but some good news may bring you .25 cents or so on a trade. Once the war on coal blows over, this stock will be back to the 3's and 4's. Holding shares @ 1.98