what they will do...is pull the prices down more then it is necessary...then do window dressing say by December 2014 by pushing the prices up again (mostly blue chips will be up). Everything will look green and lovely in KLCI on the first week 2015....yet 95 percent of us (retailers) would not see any money...great magic at work.
the setting as if at the end of 2007 although the situation not as bed i.e potential sharp rebound just like in dec 2007 to mid jan 2008 only then followed by severe correction due to not so much of weak global economic reason (because new stimuli likely will pope up hear n there) but stock over value reason...but no worry still got a lot of time to jump out from bskl boat before it sink to the unknown... kikiki
normally spiral type correction likely will not happen if people worry n understand too much but will happen unexpected when people are drunk in high sugar market....like housing boom in msia now...???? http://www.cnbc.com/id/102190437?trknav=homestack:topnews:6
Pump and dump As even big players wanna get out They know that capex will be cut by petronas and others next year which will erode the earnings of all the oil and gas sub sectors - lesser contract will be approved or given out and margins will be squeezed
My view it its going to drop further, but as you can see the share price still maintain relatively stable for now at 80 cents, even it breach the support threshold of 80 cents this morning..So now myself also confused... to support or dump it.
When times are good , analyst will keep revising upwards their target price. PE 20 is cheap When times are bad, analyst will keep revising downwards their target price.PE 10 and below is expensive When retailer listen to analyst - they will get chop & lost big time Even warren buffet recently cut down his exposure in oil and gas sector as the giants like ConocoPhillips all cut down capex Petronas will also cut down All the oil and gas upstream and downstream services provider will be impacted
I feel it is a price war.Shale oil cost much higher then conventional oil.Saudi is going for free fall to kill shale.US taking advantage of d situation to crash global shares which they have been doing since d 1880's.Once US satisfied on d global shares sell down their funds will return to Asia to make money for their investment.Well! Opec meeting is coming....got to be positive....the way I see it n it is my2c opinion!!!!! 20/11/2014 16:24 X I dont trust d Jews wait for Opec meeting....now winter need more oil. 20/11/2014 16:26
@Ring - well said, well said. methinks there is a concerted effort by the Yankees to bring down some 'unfriendly' economies as well in Russia, Iran and Venezuela...
One possibility is Riyadh wants to see off US shale oil, which is believed to need much higher prices than conventional production to remain competitive.
“They are after US shale,” said one participant in the meetings with Saudi officials.
However, the source added that the Saudis might also regard low prices as an opportunity to put even more pressure on Iran and Russia for supporting Syrian President Bashar al-Assad, an arch-enemy of Riyadh, in the country’s civil war.
Several Saudi oil sources have denied over the past month that geopolitics are now driving the policy, but they have failed to stifle theories that Riyadh and Washington are working together to hold down prices.
“What is the reason for the US and some US allies wanting to drive down the price of oil? To harm Russia,” Nicolas Maduro, president of fellow OPEC member Venezuela, said last month.
Masoud Mirkazemi, an Iranian lawmaker and former oil minister, said Riyadh was helping the G20 group of major economies. “Saudi Arabia, which intends to manage OPEC, serves the interests of the G20 group,” he said. — Reuters
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
skybursa
1,483 posts
Posted by skybursa > 2014-11-17 19:49 | Report Abuse
Future earning is a disaster .