Here is Precision Drilling again. May just be getting there. I saw this young lady on BBN talk about it and  even though I do very much respect her professionalism , I marveled  at her opinion that they have a few issues  (as in too much hay on the fork)  while at the same time suggesting that if you “rode it down” and lost most of your money in the process, you may want to stick with it today, as it will probable go up some day. Well, that day may just be NOW @ $5 or below.

 

There was a time that oil traded at about $10 that a brand new drilling rig worth millions could be had for perhaps as little as a few hundred thousand dollars and that PD (then not an income trust) briefly traded under about $14 (it has split 3 to 1 ?since, so that would have been about $5 in today’s terms). That was 1998, I loaded up on the stuff and got out at about $20 – for a very brief moment believing my own genius only to watch it go straight into the stratosphere. Now , give or take 10 years later, we may once again be at the same juncture.

There is a credible 5 wave pattern down that may not be completely finished but cannot go that much further. Should we not begin a new bull, at least a counter-trend move of $10 or so is very much in the cards. For those readers that are completely without prejudice or bias, it is also a comfort to know that the top dog is Dutch.

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