February 21st, 2014

Here is a another prospect I am writting about since it just released a important news on February 19th 2014, (see link below). Please refer to the MegaCaps section to understand the market dynamics that we are currently into. Canadian Natural Resources (CNRL) is a largecap company with a market capitalizations of 40 billion dollars. The stock is highly volatile so I would like to remind you to use stop loss (away from the static zone).

Common mistakes with new investors or traders are about cutting losses short. They read about it and then try to implement the cutting short strategy and fail to allow enough viable volatility to their investments, resulting in compounding losses to their portfolio. My stop losses for CNQ would be set approx $6 below but the best scenario would be to let it retrace to 33$ so that i can set my stop loss to 27$ (or 18%)

However you should use position entry level to leverage your average cost. Considering a hypothetical target of $42, buying in at $37 a shares would not be a very good entry level according to this chart. It is important to wait for a proper entry point. (currently bullish with timing deficiency).

https://www.cnrl.com/upload/media_element/762/03/0219_asset-acquisition.pdf