They do have some interests directly connected to petroleum products, but more importantly Mr. Market tends to trade anything remotely related to energy prices in sympathy with oil price movement. There's no particular reason why many companies should trade based on the collapse of Greece or Russia's sortie into Ukraine or the incoherent ramblings of Carl Icahn ... but they do. If you're looking for rationality, keep looking.
"We expanded our reach in the refined products and convenience store business with the acquisition of Susser Holdings Corporation, including its interest in Susser Petroleum Partners LP, (now Sunoco LP - NYSE: SUN). These acquisitions, together with our already robust asset base, have enabled Energy Transfer to become a premier provider of services to producers and consumers of natural gas, NGLs, crude oil, and refined products."
He thinks that him selling 200 shares (on Yahoo divide by 100 for accuracy) is somehow meaningful and he actually believes everyone will be impressed by his fairytale number of shares.
"The spin off is a done deal."
Not exactly on a par with Nostradamus The devil will be in the details, not just that the deal is done.
There is a common belief that whenever a stock price goes down it can only be attributed to the nefarious shorts.
But when you read comments about the company, even from those paid to do analysis, there is a remarkable lack of even superficial understanding of the it.
Transports generally are down and anything oil or rail related is generally down. Coupling that with the Stifel downgrade (they seem to reverse their call on the stock monthly), a fair number of people have run for the exits. The percentage short hasn't changed that dramatically in the past week or two and this stock trades on a very thin daily volume, allowing day traders and algorithmic trading to profit.
Those currently short, along with the day traders and computer driven trades will also contribute to a run up in price when fundamentals kick in. For a comparatively boring business the volatility is unexpectedly high, but volatility also creates opportunity for those that understand the business and don't assume the railroads are going out of business.
That's what will hold back price rise for awhile ... people who bought in without bothering to understand the company or its trading history or its usual low trading volume ... and now want to exit with a small loss or small gain.
Referring to it as a "rigged game" says it all. You, and others, made a blind bet, not an informed trade or a investment. Normally a fall like we've experienced shakes out the weak hands, but it also attracts some even weaker hands who take a little longer to shake out. There's nothing fundamentally wrong with the company. By any metric it's way oversold.
Blaming investment decisions gone wrong on manipulation or shorts or a full moon is simply shifting the blame for a "bet" you made. It's a market. Every stock traded is moved by exogenous influences. If volatility scares you and you can't fathom ways to profit from it ... and in the case of GBX all you need to do is look at a one year chart to see it gets whipped around fairly regularly ...then play in a safer environment, wherever that might be.
Sometime the so called Professional Trader should look at the pretty red and green boxes at the bottom of any decent stock chart.
The Money Flow Index (MFI) is an oscillator that uses both price and volume to measure buying and selling pressure
And using the RSI and PVO
A simple trading system is based on the RSI and volume indicators.
Sell on a significant volume surge when the RSI rises above 70.As a rule, Volume Surges (indicated by a high PVO) that appear during a strong index advance - (i.e., when the RSI 70) - indicate potential downside reversals;
Buy on a significant volume surge when the RSI drops below 30.As a rule, Volume Surges (indicated by a high PVO) that appear during a strong index decline (i.e., when the RSI
"Thoughts?" MLPs pay distributions, not dividends. It can be confusing to people who are easily confused, like yourself.
So awhile ago I sold the Sept $45 calls for $1.10 and the Sept $44 for $1.30. Bought them back at a profit on the Tuesday dip, but still held the stock as the price recovered. When the stock rises some more, I'll probably do the same thing again. It's just another "dividend" added to the already generous distribution from BX.
"They are probably trying to be RIGHT somehow. Make enough upgrades and downgrades, eventually you might be right. "
I believe that's known as the Jim Cramer system. He makes multiple calls on every stock and selectively remembers which calls to draw attention to and which to ignore.
And looking at the call options for January, it looks like options buyers are expecting prices to be in the $60 to $65 range. Even shorter term call options remain fairly strong.
This stock gets whipsawed about quite regularly even on an intraday basis. Day traders and algorithmic drive trades seem to regard this stock as a profitable toy. I find it hard to believe many longer term retail investors or institutions would be that easily panicked into selling. A few hundred thousand shares changing hands (probably the same hands over and over) are just running the price all over the map.
I think the common wisdom (he said sarcastically) is to give these "events" three days to get sorted out ... or at least begin to get sorted out.
"but 30%+ short interest is quite a statement otherwise"
It may not be a statement regarding the company fundamentals but a realization that this thinly traded stock is volatile and somewhat predictable in it swings in a wide trading range.
Yes, the stock price is volatile not the company which is quite stable. Too many people "invest" on the assumption that "they" must know something if the stock price is falling.
The quote about buying fear and selling greed is quite applicable and the reason that it works so well if because most people do just the opposite.
Right now the market is reacting to the word "miss." Once they figure out that the details are good and guidance remains as before, the market should respond ... even later this morning. Reading comprehension of day traders is not that great until it's explained to them line by line.
I think most shorts will feel they've wrung as much as they can from this. About time for Stifel to make it's bi-weekly change in recommendation back to buy. At $5 to $6 a share, the mid $40's makes no sense. 80% of their backlog is from non-energy related equipment. No matter how aggravating, this one requires patience.
"You have a phoney name: Coming from someone masquarading as a professional trader, that's hilarious. No need to discuss anything. You're wrong.
It's important that you know what stock volume is because it either supports or denies the legitimacy of price action. Volume can often make or break your trade.
Volume measures the commitment behind stock price movement. It lets you know how many people are involved in that move.
If a stock moves on low volume then that means that relatively few people are participating in this movement. And if a stock moves on high volume then many traders or investors are involved in that movement and it will be easier to find someone to buy from or sell to
"they'll find that a "Magic 8 Ball" may be the answer."
Don't knock the proprietary analytical tool used by Jim Cramer.