Shell exploded for 18% of gain today with high volume. SMA crosses 200 days confidently.

How about the earnings? Lets look at the past:

Earnings?

The trends of earnings move with oil price. The lower the oil price, the higher the earning. Particularly in 2004 and 2009 when the oil price dipped, the earning explodes and vice versa on 2008, 2011-2013. 

2014 the losses were due to:

The declining oil price led to a stockholding loss of RM625.1 million in 2014. The loss refers to the difference between the current cost of inventoriesat the date of sale and the amount charged as the cost of goods sold in computing the historical cost profit.

In 2015 the EPS for first 2 quarters alone is 130 cents. Third quarter  shell dipped into red due to SHUTDOWN FOR MAINTENANCE FOR 44 DAYS. 

Final Quarter report is due in February and coincidently, oil price dipped further to 45-36 dollar per barrel in last Q of 2015. 

How will be the earnings?

The chart above speaks thousand words.

Short term TP RM8.00

If oil price maintains at 30 dollar per barrel, the EPS will be 223.45 as suggested in 2004.

Long term TP RM10.00

Trade at your own risk.