Schlumberger is a relatively cheap stock now trading around 10 PE again but the technical picture says it will get 'cheaper'. It should drop to the 32/5 area before a severe upside move will occur - sounds funny as it made 20 % within a week. A drop from 112 to 32 (when we finally have the low) will produce a 38% retracement potential up to 65 even with 52 the mandatory part. All we did so far as we are here as well far below monthly Bollingers to trade back towards it (currently at 56.5, which ir will not reach now). As the month ends Friday the levels will come down though. SLB made an almost 100$ move up within 5 years and lost 75% of it til now within 5 months. We are now in wave terms in wave 4 of 3 - we might even see 55 at some point in Dec ( as the final upside manipulation is executed) but we will drop to/below 35 thereafter which will be a temporary bargain in Jan /Feb as that earnings season will be unpleasant for stocks.
Thursday, November 27, 2008
Schlumberger tech outlook
Schlumberger is a relatively cheap stock now trading around 10 PE again but the technical picture says it will get 'cheaper'. It should drop to the 32/5 area before a severe upside move will occur - sounds funny as it made 20 % within a week. A drop from 112 to 32 (when we finally have the low) will produce a 38% retracement potential up to 65 even with 52 the mandatory part. All we did so far as we are here as well far below monthly Bollingers to trade back towards it (currently at 56.5, which ir will not reach now). As the month ends Friday the levels will come down though. SLB made an almost 100$ move up within 5 years and lost 75% of it til now within 5 months. We are now in wave terms in wave 4 of 3 - we might even see 55 at some point in Dec ( as the final upside manipulation is executed) but we will drop to/below 35 thereafter which will be a temporary bargain in Jan /Feb as that earnings season will be unpleasant for stocks.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment