Monday, February 25, 2008

HOKU, YGE have happy feet

If this truly is the year of solar, today may have been the last chance to get Hoku Scientific below 10 and Yingli Green Energy below 19. Credit disaster or not, oil is still going through the roof via demand, political maneuvering or something else. Gasoline is something that the big fish will always use to swallow us little fish. Not that I'm long, as I probably should have been, CNOOC or PetroChina or even Flowserve to begin with.

Solar won't be The Answer. But it will be a key slice of the pie. Hoku leaped over 10 again today and is pushing to its intra-day high at 10.20 right now. I saw it drift below 9 last week and waited for a chance to get shares at 8.50 or even 8 flat. Now that it's up more than 10% for the day, I can only wait.

Waiting is something I've done on YGE, which dropped like a dead carcass to the bottom of the ocean after I bought shares above 24. YGE is up from its recent low near 18 and is holding at 19.38 right now. I don't trust this market at all and there's no point in assuming anything. But the solar sector is mixed today, and it seems short-term traders are betting on small caps like Hoku and Yingli.

1 comment:

Unknown said...

Wrong about being able to get it under $10/share but I do believe it's bottomed now and with todays 9% gain and another after-market 8% gain, both the 7's and 8's will be a thing of the past. Seems like Hoku is building a thriving business in solar installations.