The low oil prices have put enormous strain on exporting Nations. I truly expected some "event" would cause some production to be shut in. However, it appears they can pump that oil with bullets flying everywhere !
I must concede that prices are rebounding the old fashion way, reduced rigs and non-completions. The biggest event lately is the declining dollar. That is bullish for oil and the chart appears there may be further declines in the future.
The Chinese market has literally doubled in the last year. Their economy seems to be flat, and not sure if their stock market will pop. If so, what effect that will have on oil is unknown. Keep your eye on the SSE. If it heads south you may be able to make some money on the YANG ETF.
I still think the Saudi's may decrease production in June. If nothing else, they may hand over their extra million barrels they carved out to Iran, in exchange for a Nuke deal. At the very least, they could go back to their original agreement of 9 million barrels. Of course, by June, there may be no surplus and demand may have soaked up the excesses. In that case we get a bullish statement from OPEC that markets are now balanced.
The problem with Cramer is he changes his mind as quickly as his underwear. If you make him accountable he will say, " You didn't see my latest call on Friday's show" I like it most when he discusses trading strategies and less about individual calls.
Large buy backs should help shareholders, RIGHT? I have found they make the stock more volatile in the short term as long as the buy back exists. IMO, the MM that is in charge of the BB, uses all kinds of techniques to shake the tree per say.
This is the volume I was referring to earlier. We closed with 34 mill , up about 10 mill from the average for most of the day.
FCG's stocks seem to be on fire and it posted a 1.67% increase today.
It would be nice to see a squeeze on higher volume. Above 25 mill for the day would make me happy.
Best not to kill the animal you want to eat !!!!!! If we break it? Barbarians at the gate !!!!!!
It is no different than the slight reduction in oil production. When it finally slides the market knows it can go fast. A 50 % reduction in rigs could cause a 50% price spike if not remedied. However, it is always remedied by higher prices.
The run on UNG makes me feel their resistance will be futile.