Marina113/iStock Editorial via Getty Images BP p.l.c. ( BP ) is trading at $46.25 with an open area gap below at $44.78, and I think the gap will fill within the next two weeks. The setup is straightforward: a new CEO who has been on the job for less than a month, a shareholder revolt that just embarrassed the board at Thursday's AGM, earnings on Tuesday (April 28) with elevated uncertainty, and a...
Marina113/iStock Editorial via Getty Images BP p.l.c. ( BP ) is trading at $46.25 with an open area gap below at $44.78, and I think the gap will fill within the next two weeks. The setup is straightforward: a new CEO who has been on the job for less than a month, a shareholder revolt that just embarrassed the board at Thursday's AGM, earnings on Tuesday (April 28) with elevated uncertainty, and a consensus analyst target of $44.14 that already sits below the current price. When the analysts covering a stock think it's going down, and the chart agrees, that's the kind of alignment I'm happy to trade. The Gap BP gapped up through the $44.78 level in mid-April on the Iran ceasefire optimism that briefly lifted energy stocks. Brent crude jumped on hopes that Strait of Hormuz tensions would de-escalate, and BP rode the wave. The gap at $44.78 was left behind. Etrade BP is usually a good stock to gap-trade on, as most gaps within the trading range fill (in both directions!). On that note, the $44.78 gap is an unfilled area gap. My backtests across thousands of area gaps show fill rates above 85%, with the median fill occurring within five to ten trading days. The gap-fill target of $44.78 represents about 3% downside from the current price, which is modest in absolute terms but highly tradeable with options leverage. The catalyst for the fill is already here: earnings on April 28 with a CEO who has been on the job for under a month. The Leadership Vacuum BP is now on its fourth CEO in six years. Bernard Looney resigned. Murray Auchincloss lasted two years before stepping down. Carol Howle served as interim. And now Meg O'Neill, formerly of Woodside Energy , took over on April 1. That's a revolving door. And each CEO has brought a fundamentally different strategy. Looney bet big on renewables. Auchincloss reversed course , slashed renewable investment by 70%, and pivoted back to oil and gas under pressure from Elliott Management. O'Neill is expected to double down on upst...
Explore the exciting world of Rambus (NASDAQ: RMBS) with our contributing expert analysts in this Motley Fool Scoreboard episode. Check out the video below to gain valuable insights into market trends and potential investment opportunities!*Stock prices used were the prices of Ma
Explore the exciting world of Rambus (NASDAQ: RMBS) with our contributing expert analysts in this Motley Fool Scoreboard episode. Check out the video below to gain valuable insights into market trends and potential investment opportunities!*Stock prices used were the prices of Ma
The Guardian named as sports publisher of the year Jonathan Liew wins columnist of the year for fifth time Guardian Sport won two top prizes at the prestigious Sports Journalists’ Association’s awards evening on Monday. The Guardian won sports publisher of the year at the SJA British Sports Journalism Awards night while Jonathan Liew was named columnist of the year for the fifth time in eight year...
The Guardian named as sports publisher of the year Jonathan Liew wins columnist of the year for fifth time Guardian Sport won two top prizes at the prestigious Sports Journalists’ Association’s awards evening on Monday. The Guardian won sports publisher of the year at the SJA British Sports Journalism Awards night while Jonathan Liew was named columnist of the year for the fifth time in eight years, as well as winning bronze in the football journalist of the year category. Suzanne Wrack won bronze in the women’s football journalist of the year and Andy Bull won bronze in the sports feature writer of the year (long form) category. Continue reading...