Obama Gives Putin A Billion Dollars!

A friend sent this to me over the weekend, I thought you might find the premise interesting.

Adam

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The Ukraine buys almost all its energy (natural gas) from Russia. Revenues from natural gas sales are a primary source of income for Russia.

Because of the recent disagreement between the Ukraine and Russia, Russia is raising the price of the natural gas it sells to the Ukraine.

The Ukraine is almost broke and can't afford the increase in the natural gas price because it would be forced into bankruptcy.

Obama just announced the United States is giving the Ukraine $1 billion to assist in paying for the higher priced natural gas it buys from Russia. Continue reading "Obama Gives Putin A Billion Dollars!"

Chart of The Week - Natural Gas

Each Week Longleaftrading.com will be providing us a chart of the week as analyzed by a member of their team. We hope that you enjoy and learn from this new feature.

This week's focus turns to the March Natural Gas futures, where strong price action stemming from bullish fundamental data gives way to a possible buying continuation. Total Natural Gas storage stands at 1.686 bcf, or 27% below the 5-year average. This draw in supply has been aided by recent extreme cold temperatures across the United States.

After posting a recent swing low of 4.563 last week on Monday, February 10, 2014, the market has experienced a sharp climb in prices. Last week, we also saw the 20 day moving average act as support for the bullish market on multiple occasions, making this indicator a key support level in a swing trade opportunity.

As we start this week, we have seen yet another push up to the 5.400 level, indicating the Natural Gas market still holds a bullish sentiment. Continue reading "Chart of The Week - Natural Gas"

It's Tricky Tuesday, So Be Careful

Hello traders everywhere! Adam Hewison here, President of INO.com and co-creator of MarketClub, with your video update for Tuesday, the 11th of February.

Tricky Tuesdays

What are they and why do they matter? Oftentimes bull and bear markets come to an end on a Tuesday, why is that? It all has to do with momentum. Typically a market builds up momentum over the weekend and that enthusiasm tends to carry over into Monday and early Tuesday trading. This is the same momentum rule I use for the "52-Week New Highs on a Friday" trading strategy.

Rule #1: On a new 52-week high when the market closes at or close to its high on a Friday, buy and go home long for the weekend. Continue reading "It's Tricky Tuesday, So Be Careful"

Get Positioned Now for the Next Great Natural Gas Switch

The Energy Report: Ron, welcome. You are making a presentation at the Money-Show conference in Orlando in late January. What is the gist of your presentation?

Ron Muhlenkamp: The gist of my presentation is that natural gas has become an energy game changer in the U.S. We are cutting the cost of energy in half. This has already happened for homeowners like me who heat their homes with natural gas. We think the next up to benefit is probably the transportation sector.

TER: What is behind this game change? Continue reading "Get Positioned Now for the Next Great Natural Gas Switch"

Article source: http://feedproxy.google.com/~r/theenergyreport/caoK/~3/FQcSCOSLwkA/15815

Where to Drill for Portfolio Outperformance

The Energy Report: Chad, you recently released an early look at 2014 titled, Drilling Down for Outperformance. You noted that you saw an average 3540% upside on your Buy-rated names. What are your criteria for picking companies?

Chad Mabry: To start, we use a discounted cash flow-based net asset value (NAV) approach to valuing exploration and production (EP) stocks. While cash flow is an important metric, NAV does a better job of comparing companies with different asset profiles, specifically within the small and midcap EP space. NAV does a better job of accounting for a company's upside potential than cash-flow metrics. We use a bottom-up approach to drill down into a company's asset base, its average type curve, estimated ultimate recoveries (EURs), well costs and so on. In this way we find out about the economics of those plays and what the sensitivities are to our commodity price deck. We then try to sort out companies that aren't being valued appropriately and identify strong risk-reward opportunities.

TER: There has been a lot of commodity price volatility this last year. How do you determine what prices to use when you're estimating NAV? Continue reading "Where to Drill for Portfolio Outperformance"

Article source: http://feedproxy.google.com/~r/theenergyreport/caoK/~3/oIiWSD_uX6o/15767