I didn't think GNK would reach 19.00 so quickly but it's here and I have no clue where this thing is going.
I haven't bought a share yet as I have been traveling on business and haven't had access to the internet during the day. From the 1 year chart, I thought the mid 19 area would be support, but now I don't have a clue to where this will go. The market pressure has really affected GNK, a lot more than I thought it would, so I'm a bit hesistant to enter before seeing some positive signs from GNK or the market.
With that said, I still think GNK is a good midterm hold at this level and wouldn't hesitate to buy in this area for a 6 month hold. Another bulker to look at in the $12 range is DSX. These two shippers aren't the EXMs or DRYS of the bulker industry and will ride out a downterm. Probably EXM and DRYS will too, but it's more of a certianty with GNK and DSX.
BDI seems to be due for more decline, but followers of the BDI can attest to the volatility of the index so that's not a certian either.
If this isn't the bottom, I think the bottom will be around 18.30 - 18.50 range. BUT right now, I do not see any reason for GNK to change its trend so the play may be to continue to sit on the sidelines.
WORD OF CAUTION: Playing the dry bulkers in a declining market is a huge risk. Feast or famine with the bulkers.