• 2 minutes California to ban gasoline for lawn mowers, chain saws, leaf blowers, off road equipment, etc.
  • 6 minutes China and India are both needing more coal and prices are now extremely high. They need maximum fossil fuel.
  • 11 minutes Europeans and Americans are beginning to see the results of depending on renewables.
  • 5 hours NordStream2
  • 9 hours Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 5 hours US intel warns China could dominate advanced technologies By NOMAAN MERCHANT October 22, 2021
  • 3 days The Climate Scare Stories Began With Far Left Ideology Per GreenPeace Co-Founder
  • 14 hours Putin and Xi have decided not to attend the Climate Summit in Glasgow
  • 2 days Biden Sets Target Of 50% EV Share In U.S. Car Sales In 2030
  • 3 days Storage of gas cylinders
  • 4 days "The Hidden Story About California's Container Ship Backlog" via Corbett Report
Martin Tillier

Martin Tillier

More Info

Premium Content

Is The Buying Frenzy In Solar Stocks Over?

If you have been reading what I write here for the last few years, you will know one thing about me if nothing else…I love a contrarian trade. Given that, it should come as no surprise that I look at stocks like CSIQ and FSLR in the solar power sector and see them as a sell even though that goes completely against conventional wisdom.

That contrarian bent comes from my background in interbank forex, where less publicized and less dramatic versions of the now famous GameStop (GME) squeeze were an everyday occurrence. We were always on the lookout for a situation where positions were lopsided, knowing that if everyone else were already short, aggressive buying would have an exaggerated effect. There would be fewer offers in the market as the players had already sold and if you could start to generate some upward momentum, those that were “short and caught” would be forced to cut their positions, adding a whole new army of buyers.

After a crazy couple of weeks in stocks like GME, BB, and AMC, most people are now all too aware of that trading technique and know exactly what a short squeeze is. What many don’t really get, though, is that the same thing can happen when everyone is long, only in the opposite direction, and that is what I see now when I look at solar stocks.

The 1-Year charts for CSIQ (top) and FSLR (bottom) look remarkably similar. Both have seen great gains as the expectation of a Biden win in last year’s…

Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News