Your oil bubble is bursting. A close below $134-$135 is a key let down for oil bulls. Now we need to break $130 which will happen soon.
Wibur Ross went short oil yesterday, and from what I have seen he does not muck around.
I think we are looking at a long term trend in oil going down.
Pain has been dealt, but will not be delt to the point where we have frozen seniors.
This is cause for the markets to trade much higher.
All we need now is talk of strategic oil reserves, new exploration, etc. and we can crush oil for a quarter or two.
Do not get all excited about refiners just yet. They are good long term bets, but could suffer some more short selling into the next quarterly reports. [[USO]] needs a break of $107 for full capitulation in oil. This is good news though for our messed up scenario.
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GW: any thoughts on a newer etf named DTO? supposed to be a more pure oil play 2xshort than Dug. thanks
I’ve been watching it …. thinly traded, thus volatility
Wondered why Fly mentioned DOY and not DTO …
Also watching DEE … double short commodities (oil/htg oil/aluminum/corn?)
and BOM … double short basic materials (SMN without the BS)
buylo,
Fly mentioned this a while back….I would go to DB website to read up more on it. I’m not to sure of the treasury bill aspect. If it shorts oil than it might be a great play: you just need to research the DB oil index to be sure of what you are shorting.
E’8,
nice call.
Which one …. puts on CNX, long FBT and RIGL etc?
Every call….R u out of PDE?
Actually looking to buy more here …filled the gap and downside is only to 37.25 from here.
Looking at RIMM (Aug Calls) for a seasonal move …. any opinion?
Is there any merit to buying some CBI here?
Also intrigued with WLB … a divergent coal/ute play.
Could be they are playing catch up after settling strike and refinancing debt.
Thing that got my attention is that their properties are mostly in Montana and Dakotas … trying to find out if they lease mining rights only (coal or all resources) or own the acreage outright. Seems they could have a large potential Bakken play there but not sure yet … not worthy of purchase w/o gas/oil rights tho the chart looks like it could see 28 if this move has legs. Any advice here?
Not as of yet. I’d be happier if it were closer to $100, but if the market moves I do not see why you could not see $120+
I’d skip on CBI due to the charge coming on the next Q. Plus the chart is fugly…It could see a shor term oversold bounce, but I’d skip it for now.
I’m looking at V, MOS, IPI, MA, and UYG, on a close above 1231
Bot some UYG with Fly a little premature @ 17.50 but looking to add. Wish IPI would pull back some.
WNR has been a nice counter trend to oil on the last pullback there … better action than the others … M, F, AMR for a speculative bounce?