ENERGY TRADE ideas

The following  is a portion of a ‘ Premium Report’  put out Monday Jan 26.    This is only 1/2 of the report, but should be helpful .   To be honest,  I initially only made small profits on some of these trades at first.   I had to leave town after the New England Storm  , and since positions are  volatile at the lows , I cashed out & re-entered later when I could monitor them.    I ‘ve added a  few updated charts too.   Enjoy

JAN 26 ,2015

Let me start by showing you an Energy stock that got taken out to the whipping post.  It is beaten down and  has double bottomed. It seems like all of the downside ( At least for now) has been met. Risk reward is skewed toward less risk  (Using stops) and more upside potential if conditions play out.  Some of these stocks could just “Bounce” and do very well.

EXXI WEEKLY – Double bottom with a MACD cross?   $2.60

 I think the ENERGY SECTOR has been beaten to a pulp and will offer great upside when the time comes.  I believe that Some of these will double & triple over time ( possibly,  Some may go out of business?)

  Why do I call such beaten up stocks low risk?

 It is because your stop is RIGHT BELOW your entry  on most of these set ups.   Your loss could be minimal, your gains could be large.

  NOTE:   THESE SET UPS ARE MOSTLY FOR MY TRADERS  or those who like to trade and keep an eye on their positions often.    One thing I have seen in the past is that often when an entire sector sells off in fear, panic and “just get me out of this stock!”….they can rebound in a breathtaking way when the panic is over.    Even a short covering rally can be profitable. You have no doubt seen that Miners did that too.

EXXI  – Also used as the main chart ( close up  )   I bought this at the open, because the stop is RIGHT BELOW. Its at the 10sma  (Bought @ $2.50)

UPDATE Feb 4 – EXXI hit  $3.74   (Is it done?)

REXX  $25 to $3 …these wedges can get explosive upside over time  (Rexx at $3.04)

REXX started moving nicely  ( FEB 2 = $4.05)

 REXX update ( Feb 3 Hit $5 plus)  that’s about 70% gain from lows. Break out over 50sma? Pullback to lows?

BAS –  Looks like the MINERS in Novembers double bottom into December, doesnt it?   Its a BUY right here above the 10sma.  Choose your stop below the 10sma  ( Bought $$5.80)

BAS update  – hit $7.14 yesterday ( I sold early)  .  Pulling back today.  Buy opportunity or done or breaking down again?

NOG  _ $6.51 I LOVE this set up.   That triangle holds your price.  Buy it here, Stop below the triangle,  upside could be very nice

 Update   –NOG .. above 50sma & it hit almost $8 yesterday.

Update  – ERF yesterday –  nice move off of lows.

 THERE IS ALWAYS A RISK OF DOWNSIDE , so if the trade goes against us,   we move on or re-group and unemotionally look for another set up.   There are plenty of these set ups   (  SD, ERF, AXAS, CPE, TPLM, etc)    and that leads me to believe we are seeing a bottoming process in Energy.    Is it just a Bounce or a real bottom?  Time will tell, but the set ups look  correct and proper for some nice trades as of today  (Jan 26).  

Honor your Stops  

There is Always another trade, better safe than sorry.

Added UPDATE FEB 4

So we are watching quite a few things currently at CHARTFREAK in the premium content.  This portion of  the Mondays Jan 26  report was mainly Energy , but we bought and successfully traded many Miners  ( or JNUG NUGT)  in Nov-Jan.  You  may have noticed interesting activity in Rare Earth  ( MCP, REE, etc) ,  Solar stocks   ( JKS, JASO, FSLR, etc etc ),  Gold/Miners  and even the general mkts .  I am monitoring these areas for good trade set ups too.   Are these recent moves over & done?  Or will this pullback be an opportunity ?  Sometimes  its best to  be patient and allow “Set ups ” to come to us,  then we can take advantage of any  proper low risk set ups that may form.     If you want to see the “Set ups” that may be forming , why not sign up for a 1 month membership.  For $37 –  The reports you get are similar to the above shortened version.  I do a Large weekend report that comes out Sunday or Monday morning , daily reports  Tuesday, Wednesday, & Thursday  morning , &  often Friday  ( if needed or anything important arises different from Thursdays report).  With the current action that we have seen in various sectors, we could see some low risk set ups forming shortly &  should be able to make some good trades.

Best wishes all!

~Alex