BNK, Bankers Petroleum

BNK  dec 3 2015 bbnk dec 3 2015 s

We were bullish on this stock in 2013, but not nearly enough as it went quite a bit higher than we expected, but we got the direction right. We do not have the brains to create convexity or gamma trade or what ever you want to call it, but we do recognize asymmetric situations and this is definitely one of those. With that I mean that if you win you will probable win more than you would lose if things went against you.

     We have a large A-B-C that is a little skewed. It is hitting a bottom connecting line that defines the freedom degree. It has a great EW count with a triangle perfectly positioned as a wave 4- it should therefore return to about $2.60 in the not too distant future. First it should make a new low which was at $1.37. The trendline runs at about $1.20 or a little higher. The RSI, which has been very reliable over years is going to go oversold soon. The MACD is not confirming the new lows. Somewhere between $1.37 and $1,25 this stock is a screaming buy.

    We do warn that this stock may not get to those lows and if it does it may do so just as you are not watching. A limit order for a week or so would be the best course of action.