Haynesville Shale - Jim Cramer on CHK Chespeake Energy and Natural Gas

Jim Cramer said on the " Stop Trading " segment of CNBC last week that Chesapeake Energy's ( CHK ) decision to cut drilling by 17% would likely be a bottom for natural gas. Cramer also said several months ago Natural Gas was going to bottom at $8 and we hit $6.50. Cramer also said the stock market bottom was at 10,850 ( the July 15th Lows ) and we have since broken through that.

I'm not sure where Chesapeake Energy will cut drilling....will it be the Haynesville Shale, Marcellus Shale, or Fayetteville Shale? Or a combination of them all.....but Natural Gas does appear to be bottoming lately...many weeks after Cramer tried to call a bottom.

Once the stock market stabilizes and stops tanking every week, Oil and Natural gas will start to move back up higher. The problem is, so many hedge funds that own energy stocks are under water and are forced to liquidate these positions due to the redemption's or what have you.

I can tell you though, once the Dow, NASDAQ, S&P stabilize, these commodities will soar back up....especially in the beg of 2009.

Whether Jim Cramer will be right or not on CHK, we will find out soon. He has been dead wrong recently though on many bold calls. He needs to stop trying to catch falling knives and wait for a confirmation bottom to both the markets and energy prices. The problem is, he trys to call these bottoms but you will never hear him tell you he was wrong. He only tells you when he is right! Yikes!
www.oilshalegas.com