gs, full of 190 proof. Since our local "refinery" has no "molecular sieve" we settle for 190 proof. But that's OK, it hasn't been denatured either - so it remains duel purpose - if you know what I mean. That reminds me - no hitchhikers this year. Last year the Skunk stopped for a dude 20 miles north of Waterloo for the "short" trip into town. Well he sat in the back and must have got into the squeezens - cause I couldn't get him to wake up until the next day - no matter how long or loud I played "Taking Care of Business" By BTO on the Eight Track. When I propped him up at that Texas rest stop - he was still smiling. The Vega never liked him though- he single handily cut my mileage by 20%. Remember when the hitchhikers where skinny and rich people were "rotund"? The world is upside down.Oh - and the year before that - the damn hitchhiker smoked (before and after!) - good thing I was driving my old car that year. This year all the milk jug caps are tight - but that's another story . . . .
Lets talk business . . .
GERS traded all week in a very tight trading range. After it appeared that GERS was going to go for an extension for the annual report - and then took one - the price fell to test the dime low for the third time. Again the dime low held. And once again a move away from the low started at the end of the week. The Skunk has said it before but it bears repeating - every time a low is tested and it prevails - it becomes stronger. One cannot expect a stock - a stock that has been drifting lower for years - to all of a sudden reverse course without inflicting some pain. During each painful high volume bottom - we wash out a lot of tired sellers. New investors - or investors who are long holds - either average down - or go to the beach. Sometimes the hardest part of holding these micro-caps is to stay in tune with the news - but not be influenced by the daily price. These new investors, who can look at this stock as growing from a dime - rather than having fallen from five dollars - will be more willing to invest in its future. That is why each of these three washouts can be seen as therapeutic for the stock in the long run.
POSTS
I see the short and the long, the trader, the opportunist and the dreamer each express themselves on the message boards. They all play a function in providing liquidity, information (and humor) to the market. One group that has occasionally confused and entertained the Skunk is the tired Shareholder who cannot sell.
These are GERS Shareholders who state these seemingly different opinions in a single post:
1. Will not sell because they think the price is going up.
2. Discourage others from buying because they think the price is going down.
Now the Skunk understands that if you think the stock is going down - well you should sell. If you think the stock is going up - you should buy - or hold. I have even heard of some Varmints who tell others to buy as they sell - and I'm sure a warm spot awaits them. But this telling others not to buy because the PPS is going down - as you hold thinking it might go up - well I am not sure what to make of it. It doesn't seem logical Mr. Spock. I though it might be one of those sophisticated trading schemes they dream up in a business school - so I asked my friend "Lucky" over at the "Rutabaga Ranch" what he thought of it. Lucky has some experience with numerous money making exercises - and he assured me that no one was making any money in this deal. In fact he told me it would be like trying to sell a car for top price by putting a sign in the yard saying (This car sucks - but its not for sale). I told Lucky it was a poor example - since I have never sold a vehicle - not with all the room I still have left in the front yard. So the Skunk will just have to wait and see how this all turns out. In the end revenues and net income will drive prices and what the Skunk or anyone else says may slightly entertain - but will matter little to the stock price in the long run.
TRADING POST– I have nothing to update on the trading side - not with the flat daily range and the wait for the annual. I wait for the annual with confidence it will provide access to opportunity. As I said a week too early last week - "with the DIME bottom holding and the general move north through the week. I think the current is headed north, and this time it’s not a back eddy. "
Skunk's Grade for last week
The forecast fell apart with the news that GERS asked for an extension for the annual. As I said I needed three scenarios to line up in order to get it right last week and the first one thru me off the horse. No need to rub it in - I should have went with the odds - not my gut. But what an uninterestingly successful life that would lead to!
Skunks Grade: for 31 March - 4 April - Actual in Blue
Trading range 13-34 - How about .10-14 or so? = F
Closes above .20= Four ZERO = F
Best Buys – Monday before the report is released - .13-15 (10-11) = D-
Fridays Close .26 (that's a double, babe) .12 = F
Skunks grade for the week = A ( I said I would be bad if they asked for the extension - they did and I was) - just glad this is self grading!!
FORECAST for the week of April 7-11th I expect the rise we saw on Friday to carry into next week but with a continued flat range. I see the message boards have provided the important function of lowering expectations over the last week. When the annual is finally released - all it has to say is we are still in business - and the relief will be sudden and north - but that is for next week (unless we get a mid week surprise.)
Forecast details for April 7-11:
Best buys? (11-12)
Range for week? (11-16)
Closes over .20? - not this week
Fridays close - .15
Taking it to the Moon!
Long Range Forecast:$12.50 Share Price in FEB 2010**That's right - that is over 100 times today's price. From the Skunks Spread sheet - he has learned that with an aggressive COEs installation these kinds of numbers are possible with even the financing we presently have - and for only the COE portion of the business. Skunk has no stinking reason to change his long range prediction. Expect the number to be further refined as information is gleamed from the before mentioned, upcoming annual and 1st quarter reports.
**Note: I am a shareholder - I do not work for, nor do I receive any direct or indirect payment from GERS or anyone associated with them. (But it would be Kapitalist Kool if I did) I will not intentionally mislead - but I can be wrong (ask Mrs. Skunk for specific frequencies) - so do your own due diligence - and take responsibility for your own financial decisions - good or bad. And some good garage logic luck to ya.
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