Saturday 24 January 2015

DocsLaymanChatter XXXIV



This week we have seen some insane moves in both Afren & Enquest both could have made and lost you money, however these companies have each released data which has surprised the markets but could we have foreseen such events? It's my humble opinion that the board of directors being shady (Questioned over unauthorized payments) and struck off is a key flag to avoid, following up we are seeing and hearing Afren could possibly default on some of it's debt which leaves a wide open gap for a further thrashing or a speculative rebound. In such circumstances you are running a real risk and although i accept that the teens are not a bad entry point, you could well be dancing with the devil.

Enquest on the other hand are putting some simple practices together in order to help combat the fiscal change in it's OP, recovery rates are not so cheap yet with some clever and measured changes the company can rise out the fifty buck storm in oil (for now).

IGAS look to be in the shit in more ways than one, the OP tanking, shale permissions looks questionable and to top it all off the board (like a few others) have been taking liberties in office which has lead to numerous accusations over the moral behavior of its CEO. Sentiment in fracking has dried up somewhat which is really being shown out in the company's share price. The unequivocal fall from grace has been hard, however the fish bone in the throat is the money IGAS board has received as part of the equity first scandal.

Sable Mining has shot up by 250% which is great for intraday traders or those bargain shop opportunists, however they need a lot of cash and I don't see they have it, the iron ore game is screwed for at least another year or two and of course Liberia has had Ebola & Civil unrest to tackle. I can see this initial move triggering a lot of volatility which again presents the opportunity to make or lose fortunes. But for me the recipe could go toxic thus sit in the bleachers watching this play out.

Emotionally retail investors are starting to feel the heat of what can only be described as a liquidity famine, this has left many many investors seeing mirages in every direction they travel. The dry abyss that we seem to come across is now starting to tire private investors out, but i urge each and everyone to remain measured. The markets are built by design to empty your accounts, stupid irrational decision making can not only hurt you, but also set you back years. Remain calm, confident and coy, but more importantly you really must adjust the dial to suit the prevailing markets.

Today I had a chat with a truly decent man that had suffered a nasty shock which may act as a reminder of what life's all about, Thankfully and by the grace of the gods this experience has ended well however it's one story that resonated closely to my own life experiences, On this note I suggest folks remind themselves what,where and how they hope their journey through life will play out. Never forgetting '' If you don't have the peace, love and harmony of a happy life around you, then much of the market battle is already lost ''

A very sobering 4 minute audio here may resonate '' Life - It all goes back in the box '' 

Union Jack Oil: Unofficial images are popping up on twitter with a renewed interest in the stock, I've remained patient throughout the Wressle 1 (discovery) process, which is now at the flow testing area in the cycle, this play is not without risk however at 0.18p the upside is huge to the downside which is protected by £3m cash balance. On this basis (if your speculative) this is just about the best time to join the story, make your decisions and enjoy the ride - If you're looking to take a decent measured risk I see UJO now as that micro cap oil company to consider.

Management Resource Solution: On friday Northland capital offered it's initial coverage with a Buy recommendation at a 70% premium to its share price, needless to say this is post news which has been quoted from the company. Clearly we expect this to be comforting however expect to see MRS follow it's year on year performance over the previous 7 years.

Westminster Group: With the Ebola chatter slowly starting to swing the corner i'm hopeful that WSG will be repaired for its commitment in SL, life and troubles we experience are absolutely nothing like that of the people of West Africa. I for one hope the change in sentiment and decline in Ebola cases stimulate the extension of better fortunes to blow over the security company.

Nostra Terra: The share price dropped as if hit by Mike Tyson last week but to me this is nothing more than a blinking cheapening of the company that are in actual fact making much more positive steps within its field. A negative reflective hit has come from the U.S shale which is not what Ntogs about hence I see an uplift and correction from here (0.17p)

UK Oil & Gas: I have expected a nudge in direction for a little while, looks like we are waiting a little bit longer however don't be surprised if this gets a hot poker up the backside.



All the best


Doc



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(These are but opinions derived from my own experiences and thoughts and are not adopted as a statement of fact)



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