Billionaire investor George Soros, who has demonized fossil fuels for years through his think tanks and political contributions, seems to have warmed up to Big Coal now that stocks are dirt cheap. The left-wing hedge fund legend has raised eyebrows with major purchases of stock in two large coal companies, firms his critics say he helped bring to their knees. While buying low is the hallmark of any shrewd investor, buying coal goes against the political and environmental ideology Soros has long espoused. Obama’s Global Warming hoax has hurt domestic coal production. Soros bought a million shares of Peabody Energy (BTU) which was selling for about $90 a share when Obama became President and is now at about one dollar per share. Soros also reportedly bought a half million shares of Arch Coal (ACI) which is also grossly undervalued. Soros presumably will sell these stocks for a hefty future profit. The rally got underway immediately when Arch Coal announced an extension of its negotiations with bondholders. Then investors discovered that Soros Fund Management recently bought shares in ACI and BTU. Meanwhile, at VRtrader.com we traded ACI and BTU due to the formation of Leibovit Positive VRs. In the following video I have presented the daily and monthly charts for Arch Coal (ACI) along with Peabody Energy (BTU). Can you believe ACI traded as high as $774 a share back in June, 2008 and traded as low as $1.00 on August, 2015?
Leibovit Positive Volume Reversals displayed here on Metastock that were formed onand August 5, along with a rising 5/3/3 stochastic confirmed the beginning of an uptrend. The monthly chart has flashed a positive 'Key Reversal' pattern.
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