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A heads up on coal stocks...


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#1 diogenes227

diogenes227

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Posted 27 September 2017 - 06:23 PM

From the link:

 

 

... unless the stocks surprise further to the upside, the prospects for shorting them again are getting closer day by day.

 

These stocks have been rallying in recent months on the desperate hope President Trump will do something to revive the industry. There is no chance of that happening. He is paying lip service, but is hardly interested or able to do anything else. Remember these stocks, long term, have fallen faster than dead canaries. This is an industry slammed by cheaper cleaner natural gas and it is facing an inevitable death at the hands of renewable energy.

 

CLD, once the stock dropped below $5 a share, could easily fade to dead money around $1, and maybe even go off the board like so many others in this sector – Patriot Coal, Walter Energy… BTU has already been through a bankruptcy, taking out decades of shareholder equity, and now has restructured and emerged to try to do it again.

 

For charts and further discussion:

 

THINKING ABOUT SHORTING COAL STOCKS...AGAIN


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