Now 80.58 in pre-market -- fully 6.4% below this week's intraday high.
If you look at the chart, XOM tends to fall about $10 from peaks before bottoming and then moving back up. The closing high was 87 in February, so look for downside to 77 this month.
You short and i will buy more on the dips. With
XOM buying XTO , now other oil co. are doing the same. The easy and cheap oil is history. I
have a large holding in XOM ,that i just sit on.
Natural gas will be a bigger play in the future. Good luck to all.
"I saw this show. Timmy's comment was off-the-wall right before they went to break. There was NO explanation.
Conversley, right before that Joe Terranova ..."
Completely false. Seymour spoke BEFORE Terranova, and he elaborated for about a minute -- on both technicals AND fundamentals.
Technicals: The chart is exhausted. There's no energy to the upside. The pressure is on the downside.
Fundamentals: Exxon is great at $100 oil, but anything above that is diminishing returns. $105 oil is net neagtive for Exxon.
Repeat: He didn't say "don't buy." He said SHORT.
The stock is down to 84.30 AH -- 2.1% below its Monday intraday high. The recent momentum has shifted in reverse, already moving toward January pps levels.
I wish there was some way of finding out what these guys' track records are. It's hard for me to believe he has enough info on the company to have an informed decision that is any different than someone throwing darts.
If XOM was some microcap company that nobody followed it would be one thing, but somehow I doubt Seymour could even break down where the revenues/capex/cash flow from XOM actually comes from. Not that he's wrong, but it's a complex company and there isn't enough time in the day for him to be an expert on so many hundreds of stocks. It's just impossible.
"Tim Seymour is founder and managing partner of a hedge fund focused on emerging markets and founder of EmergingMoney.com."
Timmy is a trader that would "short" his sister if he has one. The word "invest" is not only foreign but disdained in his vocab.
I saw this show. Timmy's comment was off-the-wall right before they went to break. There was NO explanation.
Conversley, right before that Joe Terranova had a well thought out explanation as to why big oil was a great Divi play.
RigZone had a very interesting article in which XOM strategy was explained. In short XOM was able, in 2010, to replace 1.5 time its production, quoted in Bboe. Using 5.6 cubic feet of gas as 1 barrel equivalence. XOM is unable to replace the crude oil it is producing. But NG is more and more what is found. Therefore XOM is becoming a very big player in NG.
There is still plenty of crude on the market, but in the not too distant future crude oil will not be so readily available but NG will be plentiful. Some analysts believe that the $100 oil is to stay.
In the US the NG infrastructure in nonexistent, capital will have to be invested so we (stiffs) use more NG.