Dead cats of the world must have unionized or something because we have been doing nothing but going down for the last 9 weeks. The daily chart looks dismal at best and hopeless at worst but at least one or 2 buyers provided a handful of upticks in the last 30 minutes on Friday and we are just off that 262 level which is holding by a thread.
The weekly MLP chart offers us the prospect of a double bottom in here and we are deeply oversold . If we don't bounce here..we may as well pack it in.
Crude oil is up this morning as Tropical Storm Dolly is moving off the Yucatan Peninsula and heading for Brownsville by later tomorrow. Now while crude is rallying on this be advised that even as a hurricane this will be short lived. So i think it maybe another opportunity here to go short oil...which one can do btw with the Ultra Short Crude Oil (DTO) which is a double short on the commodity as opposed to DUG which is a double short on the oil and gas stocks. The brave among you might give this a look. The USO chart looks to me like it wants to go down here. Note the on balance volume on the USO has broken down so this could be a signal for lower prices ahead.
This is an early first post so i don't have any corporate headlines to play with and the upgrades downgrades are trickling in so if anything crosses i shall post this morning. Stock futures have strengthened this morning as it is still all about financials. MLPS late last week seemed to be keying off the Semagroup LP (SGLP) debacle as traders tried to tie it to other mlps like Plains All American (PAA) which had to put out a statement to stop a 3 point bleeding on Thursday evening. At least they were responsible to their shareholders by providing them with information. Atlas Pipeline was down 2 points Friday on no news and the company came out and affirmed guidance. I am still waiting for confirmation that Semagroup LP (SGLP) investor relations even opened my email let alone read it. It was an email requesting information on the stock collapse on Thursday. Hey guys if you want to answer my email...no rush. Anytime before the stock price goes to zero.
Headlines as they break.
joseph cioffi's Source Page - Associated Content
6 comments:
SGLP NEWS
Manchester Securities and Alerian Capital Management Assume Control of SGLP; Appoints New Board to Focus on Future of Company
SemGroup Energy Partners, L.P., (NASDAQ: SGLP) today announced that the holders of a secured loan to SemGroup Holdings, L.P. ('Holdings'), Manchester Securities and Alerian Capital Management, have acted on their rights under their loan documents to vote as the sole members of the general partner of SGLP. They remain fully supportive of existing management.
"These actions are necessary to protect SGLP and allow SGLP to focus on its future and best interests. Despite the challenges faced by SGLP given the uncertainty at its main customer, Semgroup L.P., the board and management are enthusiastic about the Company's strategic assets and future in a robust energy market," Chief Executive Officer Kevin Foxx said.
Manchester and Alerian have reconstituted a five-member board of directors at SGLP's general partner to include two representatives from Manchester, one from Alerian, and two existing independent directors. The new board and management believe this is the beginning of a new era for SGLP, and they will be working together to maximize the long-term utilization of the Company's assets.
"We believe strongly in the intrinsic value of the fee-based energy infrastructure assets owned by SGLP. The storage and transportation services provided by this company are an integral component of the midstream energy industry," said Alerian Managing Partner Gabriel Hammond.
Management expects to host a conference call on Tuesday, July 22, 2008 to discuss the transition. Details of such call will be announced in a separate release.
SGLP HALTED. It would've been nice if they did that on Thursday!
Hey Joe!
Have you ever considered offering a subscription service (in addition to your blog) in which you discuss specific MLPs, make recommendations for both trades and long-term holds? My guess is that a significant number of people would subscribe and your subscription base would grow as more and more people discover your blog (which would have a link to the subscription service).
I know that I would subscribe in a heartbeat!
Thanks again for your extremely valuable blog!
Bruce Sherman
Oakland, Oregon
I'll second that. Send me a bill, I'd pay it in a heartbeat. Definately a worthwhile expense... and tax deductible to boot.
Would also be interested in an investment letter.
rrcbenjy
I would subscribe to your service in a minute ...you have made me alot of money thank you ,,, please don't go away..the singer
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