• 4 minutes Ten Years of Plunging Solar Prices
  • 7 minutes Hydrogen Capable Natural Gas Turbines
  • 10 minutes World looks on in horror as Trump flails over pandemic despite claims US leads way
  • 13 minutes Large gas belt discovered in China
  • 10 mins Would bashing China solve all the problems of the United States
  • 8 mins Yale University Epidemiologist Publishes Paper on Major Benefits of Hydroxchloroquine for High-risk Outpatients. Quacksalvers like Fauci should put lives ahead of Politics
  • 14 hours Model 3 cheaper to buy than BMW 3 series.
  • 9 hours COVID 19 May Be Less Deadly Than Flu Study Finds
  • 22 hours China to Impose Dictatorship on Hong Kong
  • 42 mins Pompeo's Hong Kong
  • 12 hours Thugs in Trumpistan
  • 3 hours China’s Oil Thirst Draws an Armada of Tankers
  • 4 hours China To Boost Oil & Gas Exploration, As EU Prepares To Commit Suicide
  • 2 days Iran's first oil tanker has arrived near Venezuela
  • 2 days Let’s Try This....
  • 2 days Chicago Threatens To Condemn - Possibly Demolish - Churches Defying Lockdown
  • 1 day 60 mph electric mopeds

A Promising Trade For The Long Haul

One of the things that were impressed on me early in my career in the forex market was that the market can never be wrong. The market price is simply an expression of the place at which a buyer and a seller were last prepared to transact, so of course logically that is the case. Sometimes, though, when the general sentiment is negative, things get dragged down to the point where logic dictates that there is far more chance of a recovery than of further losses. That doesn’t mean that it cannot go lower, just that the odds work in favor of a buyer.

Take Golar Liquid Natural Gas (GLNG), for example.

(Click to enlarge)

The selling of natural gas futures, and therefore anything associated with the commodity, has, over the last few days, begun to look like full on panic. Yesterday, for example, the gains that resulted from news of larger than expected draw downs of gas were quickly erased and futures finished the day down once again. When even good news is shrugged off like that it is a sign that the market is acting somewhat irrationally.

That is definitely the case with a couple of associated stocks, and GLNG is the prime example. Firstly it should be noted that, in many ways, GLNG is, despite the ticker, not a natural gas stock. It is a transporter of the product.

No doubt the company’s stated aim of becoming an integrated mid-stream player in the industry has hurt it as prices have collapsed, but with the export of U.S. natural…




Oilprice - The No. 1 Source for Oil & Energy News