I feel very fortunate to have bought PSX at very low levels and have held on and made a nice profit. Many times I've been tempted to sell on downturns but was rewarded by sticking with it. The recent downturn has been the most significant by far and it hasn't bounced back as quickly as some of the others. Could this be the end of the run? I want to wait until at least May 1 earnings, hoping for an injection of excitement but PSX just seems like old news and has lost its luster.
The announcement of more stringent EPA requirements started the decline. These changes will cost the refineries a lot of money to comply. The cost of gasoline will rise and that is exactly what Obama wants. Any increase in gasoline prices makes his green projects look that much better. Projected future crack spread declines also impact the future profitability of the refiners. I am holding here.
Thanks for your reply. I often follow you on the message board and you had me concerned in the past couple of days when you said you were selling PSX and buying COP. PSX is such a well-run company and more than just a refiner. I can't imagine it's not going to continue its climb.
It is always difficult to know exactly when to buy and when to sell. I think there is good solid support at $60.00 but am hopeful we won't have to test that area. PSX and others took one heck of a hit on 4/2 on high volume. I seem to recall a downgrade. I think the refiners are getting overly beaten down now however and I don't think the picture is as gloomy as some (i.e. Jim Cramer) is painting. It seems some of the large companies like CVX are upside today but the refiners like VLO and PSX are getting manipulated down. I'm definitely going to hold into earnings as I think this downturn is unwarranted. I'd like to see them sweeten that divy a bit! Good luck to you!
Thanks so much. I'm not a technical investor so I don't understand that aspect of it. Your insight is very much appreciated. I'm also baffled with major downturns and upturns when there's no news. Thanks again and I wish you the best, as well!