Crude Oil prices - Can only be speculation !! Trade Ideas - CSUN , CSIQ and RMBS

Chart courtesy of stockcharts

Looking to the overall picture in current markets and based on yesterday sell-off, its obvious that investors still worried with problems like credit and commodity prices, however many of them still forgetting that companies are still presenting interesting outlooks and fundamentals forthis year. I know that many of you, are looking for these words and thinking that I'm really blind, but I'm not!! At these levels and after a big rally since 2003, it is natural see some correction, so this could be the main consequence of the recent decline in share prices since October, not as a consequence of high degradation of the state of the economy. I'll be worried if job market starts losing jobs, this will be the real issue for me, because the lack of jobs will create more soon than later lack of spending and so on, so my eyes will be only focus on tomorrow job numbers. The Labor Department report should give a clue to all whether the solid job market that existed last year can continue in 2008. On the other hand and looking for crude panorama, let me tell you only one word "Speculation", there are no fundamentals reasons for current prices. People are looking for all ways to pump this commodity, sometimes with ridiculous arguments, it's really unbelievable, but what we have to say about that "Speculation","Speculation", "Speculation". Here are some comments mentioned today "Reuters" by an official from Iran "The problem is not shortage of supply," Hojjatollah Ghanimifard, international affairs director at the National Iranian Oil Company. "I think the main problem isoutside the oil market. Too much liquidity is available","A big part of it is in the paper market of crude oil" Ghanimifard said. Here another example now from Qatar's oil minister "The Organization of the Petroleum Exporting Countries cannot tame the price rise because it is not a result of supply problems","Speculation has been very strong. It's a game for speculators" told Reuters on Wednesday. For people that like to invest in this market, what I have to say is play what you see and not what you think, but be careful because the "bubble" can blast soon.

Chart courtesy of stockcharts

If there is a stock in the semi-conductors sector that still performing very well even after consecutives falls of SOX, is Rambus. Stock is playing very well is this bad environment with a good looking chart. The above chart is a 6 month chart. As you can see, RMBS is holding in the rising channel recently formed. RMBS is and has been under consolidation for sometime now. If we were to consider the MACD divergence, it indicates that the possibility for RMBS moving higher. Keep this on your watchlist.

Chart courtesy of stockcharts

Here is a chart of China Sunergy. Looks to have a small bull flag formed as indicated by the white lines. We have had a nice rally off the lows in November that has broken the downtrend, and now we have formed a small consolidation flag. A breakout above this flag is a legitimate long side entry in the stock, so stay tuned on CSUN.

Chart courtesy of stockcharts

Canadian Solar shares ended today session gaining more than 4% to $29.90, with more than 4 million of shares trading. Looking at the daily chart, stock is in a strong bull market with 50 day moving average on top over 200 day moving average, printing a nice uptrend. In addition, MACD and KD still show bullish sign as MACD is still above 0 and K line crossed recenlty above D line again. At these levels, buy point is on the day it breaks the $31.44 area on heavy volume. Keep an eye on her.

Disclaimer : Trading stocks involves risk, this information should not be viewed as trading recommendations.The charts provided here are not meant for investment purposes and only serve as technical examples.

That's All. Have a nice evening !!!

AC

Labels: Crude Oil, CSIQ, CSUN, RMBS