WE DON'T HATE THEM ANYMORE

We continue to just muddle along here above 290 on the MLP index in what has been a long bottoming sideways process. And while the overall market is on its way to a March low retest we continue to hold above any breakdown point. Good sign.

Now while they are admittedly a long way off their highs i think we can take Constellation Energy Partners (CEP) and Linn Energy (LINE) off the "most hated mlp list" Check out the chart of Constellation which looks like it is breaking out of "cup and handle" formation which in the chart world is a very good thing! At least we are well above those teens we saw back a few months ago.
And Linn Energy (LINE) has very quietly made its way back above 24 and needs to clear 24.50 on volume which could push it back to the upper 20s in a hurry. Also here alot better than that trip into the teens.

So we have the list of the 5 most hated mlps.

1. Calumet Specialty Products (CLMT)
2. US Shipping (USS)
3. Cheniere Energy Partners (CQP)
4. Nustar (NS)
5. Breitburn (BBEP)

Most hated does not necessarily mean these are bad investments longer term. In fact being on this list might be an indicator to put the mlp on your radar screens. For example Breitburn (BBEP) has quietly rallied back from its lows in the teens so it could be getting ready to drop off the list. Nustar was discussed last week as getting to a point where it may be all sold out. US Shipping and Cheniere i would avoid at this point because they have told us that the distribution may be at risk. Calumet (CLMT) is in the process of testing its bottom and it continues to suffer along with other refiners. If oil ever tops or heaven forbid actually goes down one day this one could benefit. Another one for the watch list.

Okay news items this morning as Boardwalk Partners (BWP) whose price has rallied lately from its lows of 21ish to 28 ish...has decided to come to market with a 10 million share offering. Stock was down 1 to 26 after hours yesterday. Also noted some small insider buys yesterday at DCP Midstream (DPM). Love those bullish open market purchases. Someone is putting money where his mouth is.

This morning oil is up (shocked), dollar is sharply higher (really shocked), nat gas is down a few pennies (just for laughs) and stock futures are down about 10 points on the S&P. No other headlines this morning and nothing yet on the upgrade downgrade list.