CHI - Channel Infrastructure Ltd (NZR)

[Deev8]

Ian Farrant, the company Chairman, sold half of his shares (sold 50,000 shares) for the sum of $340,640. The on-market sale occurred on 29th and 30th March.

http://www.nzx.com/market/market_ann...pany?id=129549

[gamerice]

What's up with the languishing sp of recent?
World crude oil price has increased approx. 20% in the past month... and is approaching $75 USD / Barrel fast...

and all NZR is doing is going down south!?
what's going on?

[craic]

A nice move to the north by 20cps today. I wonder if it will get to $10 before Xmas?
ZR
19/05/2006
MONTHLY

REL: 1538 HRS The New Zealand Refining Company Limited

MONTHLY: NZR: High Margins Continue at NZRC

Throughput for the March/April (two month) period was 6.5 million barrels
which is in line plan and slightly above the same period for last year.

The company achieved an average margin of USD10.74 per barrel and earned
processing fees of $77,848,000 for the two month period.
End CA:00131554 For:NZR Type:MONTHLY Time:2006-05-19:15:38:18

http://www.directbroking.co.nz

[Happy Camper]

$8 maybe, but surely not $10 Craic!

A margin above USD10 per barrel sounds pretty darned healthy to me mind! If they can maintain that for a significant period of time then a shareprice of $10 may be just around the corner.

Cheers

[Captain Ramjet]

still practicing my technical analysis skills....seems to me this has gone through a previous resistance point of about 6.80 with a fair amount of gusto but not on particuarly strong volume. Do you think that this is signalling a break out of the trading range of 6.50 - 6.80 and will form another steep trendline similar to earlier this year (Feb to April)

Feedback from all and sundrie welcome....educate me

[Happy Camper]

I think that it is more likely someone taking a position ahead of the half-year result that is due out within the fortnight - give or take a day or two.

If the news is good, they will be laughing all the way to the bank having bought into NZR in the low $7's.

With all the volatility of late, there is no reason why NZR haven't maintained strong margins which will flow through to strong cashflows which will be of immense help after the increased capex of last year.

Cheers

[scamper]

Hello Captain Ramjet,
Your TA skills seem fine, but don't forget that some indicators work better than others depending on the stock. nzr, for example, is strongly influenced by global news -- wars, oil strikes, labour disputes etc -- and while the market can see many of these coming, the price can bounce around on very low volume.

Also, i guess you know that the four major oil companies own most of the shares, so that any strategic buying or selling by any one of them can wobble the price -- but i don't think they do that very often -- they just sit, hold and smile...

this reuters site is very useful and one of the few free sites that includes 'On Balance Volume'. The TA guru Phaedrus recommends this indicator strongly, and gets good results from it.
http://investing.reuters.co.uk/Stock...ol=nzr.NZ&fs=1
Cheers scamper

[Captain Ramjet]

thanks guys, appreciate your feedback. Scamper (or anyone else) are you able to give me an explanation of exactly what on balance volume is. I can see from the chart that the trend line generally and losely seems to follow the shape of the stock price but I dont understand the significance.

Thanks

Ramjet

[scamper]

Hi Capt,
"On Balance Volume attempts to measure the level of accumulation or distribution by comparing volume to price movements. Volume is added to the indicator if closing price moves up and subtracted if closing price moves down. No adjustment is made if closing price is unchanged.

"On Balance Volume should be used in conjunction with other indicators.

"Ranging market
During a ranging market watch for a rising or falling On Balance Volume:
Rising OBV warns of an upward breakout.
Falling OBV warns of a downward breakout.

"Trending Market
A rising On Balance Volume confirms an up-trend and a falling OBV confirms a down-trend.

"Bullish divergence between OBV and price warns of market bottoms.
Bearish divergence between OBV and price warns of market tops."

All this good stuff comes from:
http://www.incrediblecharts.com/tech...nce_volume.htm

The incrediblecharts site has the best -- most clear and succinct -- explanations for TA that i've found online. sadly, you can no longer use the site for nz shares, but i always go there for info.
Cheers scamper

[Captain Ramjet]

great explanation and site. Cheers scamper.

Ramjet