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New Plays
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BRY None
FST  

New Long Plays

Berry Petrol. - BRY - close: 55.23 change: +2.35 stop: 51.95

Company Description:
Berry Petroleum Company is a publicly traded independent oil and gas production, exploration and exploitation company located in Bakersfield, California. (source: company press release or website)

Why We Like It:
Oil stocks got a boost on Friday when August crude rally higher into the weekend. The oil sector has been pretty resilient even after this week's inventory numbers showing a build up. We like how shares of BRY, after two to three weeks of consolidating sideways above its 100-dma, just broke out to a new relative high over the $55.00 level of resistance. We're going to suggest longs at current levels with a stop loss under the $52 mark. BRY's P&F chart shows a big bounce from P&F support and a reversal from a sell signal to a buy signal that now points to an $84 target. We are going to target a move into the $59.50-60.00 range, which appears to be the next level of overhead resistance. We do not plan on holding over the early August earnings report.

Picked on July 03 at $55.23
Change since picked: + 0.00
Earnings Date 08/02/05 (unconfirmed)
Average Daily Volume: 192 thousand

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Forest Oil - FST - close: 43.65 change: +1.65 stop: 41.25

Company Description:
Forest Oil Corporation is engaged in the acquisition, exploration, development, and production of natural gas and liquids in North America and selected international locations. Forest's principal reserves and producing properties are located in the United States in the Gulf of Mexico, Texas, Louisiana, Oklahoma, Utah, Wyoming and Alaska, and in Canada. (source: company press release or website)

Why We Like It:
FST produces more natural gas than oil and it's worth noting that the XNG natural gas index just broke out to a new all-time high after two weeks of consolidating sideways. FST looks poised to follow the sector higher. The stock gapped down on Friday and hit a low (near support) at the $41.30 level before sharply bouncing. The entire move produced a bullish engulfing candlestick pattern. FST remains under resistance at the $44.00 level and that's why we are suggesting a trigger to go long at $44.15 to catch the next breakout. The MACD indicator is nearing a new buy signal while stochastics and RSI have already turned positive again. The P&F chart for FST shows a triple-top breakout buy signal that points to a $63 target. We are going to target a move into the $47.50-48.00 range but we'll close the play before FST's early August earnings report.

Picked on July xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 08/01/05 (unconfirmed)
Average Daily Volume: 790 thousand
 

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