EPD has been beaten down and now sits below the 200DMA which usually signifies a bear market in a stock. How low this will go is anyone's guess but I will be holding off buying ANY energy related stock for the time being. EPD could go into the low 20's very easily if crude trades in the 30's, which I suspect it will.
And what if this time is really different? That the world's economy's are heading towards depression? Most in Europe are hanging on by two words called quantitative easing.
I think you will find hedges may work at $80/barrel but not at $52/barrel.
If oil drops to the 40's as I expect it to, hedges won't help.
It was just a matter of time. Now the rest of these 'darlings" in the energy patch will follow suit.
Who is next? any guesses
"The market in general is very high,...."
Yep. But it is going much higher in 2015. Like I posted earlier on this thread. Buy an ETF on the Dow index and sit back with no worries. Or you could just buy one or two outstanding stocks that have beat the Dow every year by a WIDE margin for the last 10 years and reap capital gains instead of divvy's.
And why are you even talking about Sprint when you can buy ATT and reap almost 6%. Sprint is a speculation and a not good one. Leave that to the traders for scalping a couple points if they are lucky. Want a long shot...buy BBRY. But don't put too much money into it.
So.......................put a stop buy above some resistance level and sit back and enjoy life. When it turns the market will take you right in. Geeeesh. So simple. In the meantime the majority of this board keeps catching falling knives. Pick up a 17 cents distro and lose another 20% capital.
I got news for you. The rebound will not be violent to the upside unless the world's economy's pickup. GDP is a function of energy use.
" Prognostications of much cheaper oil are looking more and more likely to be wrong."
I think you will be proven wrong. My guess is $40 oil coming in 2015 and maybe even $30
Remember what I posted 6 months from now. Save it somewhere on your computer. Then tell me how I lost my credibility.
Many people posting here have stated they are already down 50% to 70% of their capital. How much more does it take to be officially bankrupt?
Here.......think this through. On a world wide scale as you needs to think globally today.
ENERGY USE IS A FUNCTION OF GDP.. Now tell me where the price of crude will be 6 months from now.
"Also, I know oil is going to rebound."
YOU DON'T KNOW THAT. You are hoping oil will recover. Just this morning on the futures oil is down again. And that my friend GUARANTEES much lower crude oil prices which means lower share prices for these energy stocks. And with that will come distribution cuts for all these "recommended" stocks like ARP, MEMP, LINE, BBEP, EROC , etc. They are going to cut distributions so why even consider these stocks.
Buy MO and get a 5% yield and sleep nights if you want safety. MO has beaten the DOW for over 10 years.
You're on the right side of the market. I personally see $40 oil and it could get to $30. If so, you will make a killing and the people owning these energy stocks will be bankrupt
Sell all Sirius today or tomorrow and if there is a tax load it will be small. Then pay off your student loan first ( or set money aside to pay it off in full) before you start 'gambling" in the stock market. And please don't let the huge distribution sucker you into oil stocks at this time. Oil is not going back up right away and many of these oil stocks might cut or eliminate distributions. You don't want to get caught up in that.
Cash is king right now as the world starts going through deflation. Better to buy a index ETF on the DOW and sit back . Wait until a correction to do that.
Oil is going to stay down a whole lot longer than most people on this board are saying. I thought maybe $40 now it could be lower and it could stay down through all of 2015. Look around....world economy's are collapsing.
Why not just wait for the turn before catching falling knives and forget about the distribution. Not a good idea to lose 10-20 or 50% of capital to chase a divvy.
AND if you buy use a STOP SELL because no one knows when this will turn around but I don't think its going to be a nipple bottom.
I told you I would tell you where you can get 10% and 7.2% on your money in US$. It is going to cost you $300 and I take bitcoin.
You really don't think I'm just going to tell the world on this msg board what took me considerable time to investigate where to get these type of yields, do you?.
What you seem to miss is that all the world's economy's are slowing down.
As far as this rally over the last 2 days, Yellen speaks, and the New York Fed buys a couple hundred thousand equity futures contracts. And lo and behold, one day & one overnight session later - the equity price levels are heading back up to test the all time high. She just had to give the markets a Santa Claus rally because every 19 year old hedge fund manager knew it was coming and were counting on their bonuses.
"The Kingdom is teaching Putin a real lesson about global power and control"
Nonsense. I've posted 6 months ago the goal of the White House WAS DESTROY THE RUSSIAN ECONOMY and Putin . Ukraine was just the match that set it off with the US engineering the coup in Ukraine .
What you have is currency manipulation once again by the US. The quickest way to bring a country to its knees is currency manipulation and the US is the world wide top dog in implementing this via the goons at the FED.
If the above doesn't completely destroy the Russian Economy, ,the next step from the US will be to figure a way to declare war with Russia. This is getting F'N dangerous on the world stage. Just last week H. Res. 758 was passed that basically declares war on Russia. Look it up on the net and see for yourself what these dangerous congressmen in Washington are up to behind closed doors.