• Subscribe
  • Log In
  • Home
  • Daily Diary
  • Asset Class
    • U.S. Equity
    • Fixed Income
    • Global Equity
    • Commodities
    • Currencies
  • Sector
    • Basic Materials
    • Consumer Discretionary
    • Consumer Staples
    • Energy
    • Financial Services
    • Healthcare
    • Industrials
    • Real Estate
    • Technology
    • Telecom Services
    • Transportation
    • Utilities
  • Latest
    • Articles
    • Video
    • Columnist Conversations
    • Best Ideas
    • Stock of the Day
  • Street Notes
  • Authors
    • Bruce Kamich
    • Doug Kass
    • Jim "Rev Shark" DePorre
    • Helene Meisler
    • Jonathan Heller
    • - See All -
  • Options
  • RMPIA
  • Switch Product
    • Action Alerts PLUS
    • Quant Ratings
    • Real Money
    • Real Money Pro
    • Retirement
    • Stocks Under $10
    • TheStreet
    • Top Stocks
    • TheStreet Smarts
  1. Home
  2. / Investing

Low-Priced Tellurian Presents Risks and Rewards

Here's what traders who are experienced with wide-swinging stocks could do.
By BRUCE KAMICH
Mar 31, 2022 | 09:20 AM EDT
Stocks quotes in this article: TELL

For his final "Executive Decision" segment of Wednesday's Mad Money program, Jim Cramer spoke with Charif Souki, chairman and cofounder of Tellurian (TELL) , the authority on liquified natural gas (LNG) and the state of energy around the globe. Shares of Tellurian were up another 6.25% Wednesday as the company announced construction has begun on its first LNG export terminal.

 
Souki reiterated that the U.S. has over 100 years' worth of natural gas, more than enough to share with the EU and other countries in need. The U.S. can supply all of Europe's natural gas needs, he said, but only if we have the will to get it done.

Souki added that Tellurian doesn't need the government's assistance to bring up to 120 million tons of natural gas export capabilities online, as they're already permitted to do so. The demand and economics support their business model, he said, and it's principally labor and other shortages that will be slowing them down.

"Russia got everything wrong," when they invaded Ukraine, Souki said. Russia could have been one of the largest economies in the world, he said, but instead, they sent themselves back into the dark ages. 

Let's check out the charts of TELL again. We did not find them convincing back on September 15. 

In this daily bar chart of TELL, below, we can see that prices have made a couple up and down swings over the past 12 months. Active traders may have liked the price swings but less active traders or investors may have had other thoughts. Prices have rallied from late February on increasing volume. The slope of the 50-day moving average is now positive and the 200-day moving average line has a bullish slope too.

The On-Balance-Volume (OBV) line has moved higher the past year which I find pretty amazing considering the up and down moves of the stock price. The Moving Average Convergence Divergence (MACD) oscillator is in a bullish alignment above the zero line but has narrowed in recent days. 

In this weekly Japanese candlestick chart of TELL, below, we can see that TELL made a bottom pattern around $1. Prices have made higher lows and higher highs from late 2020. TELL is trading above the rising 40-week moving average line.

The weekly OBV line shows us a positive trend. The MACD oscillator has crossed above the zero line for an outright buy signal. 

 

In this daily Point and Figure chart of TELL, below, we can see an $8.75 price target. 

In this weekly Point and Figure chart of TELL, below, we used a five box reversal filter. Here the software suggests a price target in the $12-$13 area. 

 

Bottom line strategy: The charts and indicators above suggest that TELL can trade higher in the months ahead. The problem, in my opinion, is the volatility - a fancy word for deep corrections. Traders who are experienced with wide-swinging stocks could go long TELL around $5 but they need to risk to $3.40. $8.75 is our first price target. 

Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.

Employees of TheStreet are prohibited from trading individual securities.

TAGS: Commodities | Investing | Stocks | Technical Analysis | Trading | Energy | Natural Gas | Mad Money | Executive Interview

More from Investing

More Good Dividend Stocks With Pretty Charts

Bruce Kamich
Jan 27, 2023 1:31 PM EST

In this second part of a two-part series, we look at the final five of 10 stocks with the best of the both worlds.

Even Some Out of Fashion Names Are Now Back in Style

Jonathan Heller
Jan 27, 2023 12:30 PM EST

Sure, we're only one month in to 2023, but so far these stocks are starting the new year with a bang.

I'm Making Small Bets With These 2 Stocks

Bret Jensen
Jan 27, 2023 11:30 AM EST

While I remain cautious on the overall market, I continue to act upon the limited opportunities I'm finding in the current market.

Chevron Is Crushing It and for My Portfolio Too: Here's the Trade

Stephen Guilfoyle
Jan 27, 2023 10:51 AM EST

The only reason to exit the stock now is profit-taking.

Good Dividend Payers With Pretty Charts

Bruce Kamich
Jan 27, 2023 10:15 AM EST

You can have the best of both worlds -- at least when it comes to a select group of dividend stocks -- as we'll see in this first part of a two part series.

Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation. If you have questions, please contact us here.

Email

CANCEL
SUBMIT

Email sent

Thank you, your email to has been sent successfully.

DONE

Oops!

We're sorry. There was a problem trying to send your email to .
Please contact customer support to let us know.

DONE

Please Join or Log In to Email Our Authors.

Email Real Money's Wall Street Pros for further analysis and insight

Already a Subscriber? Login

Columnist Conversation

  • 11:48 AM EST REAL MONEY

    Watch Doug Kass on the Daily Rundown!

    In today's Action Alerts PLUS Daily Rundown, Doug ...
  • 11:03 AM EST JAMES "REV SHARK" DEPORRE

    This Weekend On Real Money

    It's time to start using this power to build great...
  • 03:06 PM EST BOB LANG

    LEAPS Webinar

    This week, I offered a free webinar session talkin...
  • See More

COLUMNIST TWEETS

  • A Twitter List by realmoney
About Privacy Terms of Use

© 1996-2023 TheStreet, Inc., 225 Liberty Street, 27th Floor, New York, NY 10281

Need Help? Contact Customer Service

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data & Company fundamental data provided by FactSet. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by FactSet Digital Solutions Group.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

FactSet calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.

Compare Brokers

Please Join or Log In to manage and receive alerts.

Follow Real Money's Wall Street Pros to receive real-time investing alerts

Already a Subscriber? Login