Friday, January 23, 2009

AYSI and EGY

Sold another 5% of Vaalco Energy (NYSE: EGY) at $7.31, and used some of the proceeds to buy a little more Alloy Steel (OTC BB: AYSI.OB) at about 40 cents per share.

2 comments:

Jk said...

I don't like the candlestick chart of AYSI. Looks like it's being propped up by someone. Usually thinly traded stocks with charts like this are preparing for a decent drop. I hope not but we'll see. I'm waiting to add for now until I get a better feel for how 09 will shape out for them on the fundamental side, and until the chart looks better on the technical side.

DaveinHackensack said...

You could be right. I just took a little nibble here. I probably won't add more until the company releases its Q1 numbers. I'm curious to see if they will be able to generate a profit for the quarter, given the seasonal weakness and the broader contraction in the mining industry. I'm also curious to see if the ~$760k in finished goods on the balance sheet at the end of the year represents a sale that will hit in Q1 or an order that was put off for a longer period due to belt-tightening by customers. I e-mailed the company that question yesterday and if I hear back I'll post the answer on this blog.