I've been predicting this but no one would believe me. I loaded up yesterday. Oil may not get under 30 but it will retest $35 or $36 pretty easily.
Don't put money into any penny stock that you are not prepared to lose. I have a few like that. One stock I have owned for 3 years now! It pretty much flatlines...ha! I bought it too high, then it sold off to where I had lost half my investment. Now, it's back up to where I bought it. LOL! PPCH will go to clinical trials. The stock should get a nice bump when that becomes official. I believe this stock will rocket on that news. I think it will then trail off until the first trial results come out where it will then rocket AGAIN and at that point will have some staying power. But it will be a few years. If all you want are short term gains then get out now because this thing is likely to trail off on low volume until the next big pop.
I have been holding some for 2 weeks, accumulate a little along the way. I have also held DWTI for about a week but tripled my position today. I have enough cash on the sidelines to double my position again but I am waiting to see if we rally more. It's about averaging up and down..ha! I frankly don't care which way oil goes....I will stop-loss out if it rallies too hard. But my spidey sense is telling me that we can only rally so much in the face of fundamentals (like the coming storage crisis) and the 'hope' that the Saudi's and Russia will agree to freeze production at record levels. If there will ever be a "sell on the news" day...it will be that one!
I have been rotating into DWTI for some time but finally sold off the remainder of UWTI. We may go to $45 who knows, but my gut is telling me we have pretty good resistance at $40. Like I said, who knows....just trying to find the range.
I think I'm going to wait to see if we break $40 before diving into DWTI and use UWTI as an intraday momentum trade today...problem is I think I'm late to the party. Not going to make the bull trade unless we get a little dip.
Moved to April.. Ha! It is such a farce. But I think they are colluding with the Hedge funds to drive up oil prices. But that's just my own theory. Ha!
You may be right but that is a precarious place for oil to be right now. I'm really interested in how high short-term speculators will drive the price....but I'm too chicken to put much more than 10K into that bet. We'll see.
Ha! Yeah, I wonder sometimes. But it usually does eventually. But I'm just trading the range. They key is knowing what that range is. It's a little early but I think we are $36 - $40. I really don't care what the price of oil is...I just want to lock in a near-term range. I'll worry about $45 oil when it comes.
Yes, the fundamental issue is storage. Based on current trends we will hit maximum levels of storage capacity in the US in 5 to 6 weeks. Drops of 10 to 30,000 barrels of shale production per week is not going to help that. We need huge drop offs in production. But, if speculators drive the price of oil back to $40 we will see rig counts start to creep back up. Where it all ends is anybody's guess but I personally think we will see resistance to oil price increases until these supply issues subside. Much longer term....longer than speculators are willing to wait....we will see real supply shortages but that is not in the cars in 2016 or even 2017.
Big question: How long will speculators continue to ignore supply inventory increases.....week after week. I understand that US production declines will eventually accelerate if oil stays below $40. But we are so close to $40 already that I just don't see a sizeable rally having any legs. Speculators will continue to push the upper resistance I suppose for as long as OPEC continues to jawbone about some future meeting they will never have.
Based on the SEC filing we should settle at around .03/share but that doesn't account for panic selling and profit taking...this could drop it even further. I'm counting on the panic (lol!), given where we started. Should have another opportunity to buy in.
That little fact was lost on me this morning. Makes today's rally all the more hollow. There are a LOT of hopes being placed on this March 20 meeting between a bunch of nations who have never ever agreed on production freezes before. Iran of course won't participate and so neither will Kuwait. I suppose when that news becomes official we will retest the lows. But until then we could rally to $40.
trade the range...don't count on oil going over $40 real soon. Bullish speculation is enormous, granted, but fundamentals continue to provide a lot of downward pressure. So it's a huge trading range right now as any rallies climb a wall of worry over what amounts to a continuing supply imbalance, despite shale declines. I think the bottom is in but bullish speculation will wane as we test resistance and fail (as we did today...well we technically succeeded but it was not decisive).
not decisively out of yesterday's range unfortunately. Anybody's guess where it goes from here but supply imbalance issues continue to weigh on the upside most definitely, and the small but steady declines in shale production will lend support on the low end. I'm guessing our range is going to be $34 - $40 for awhile. But then again, so are all the analysts so I'm not different there. Ha! I think there is fear of oil going over $40 because that will result in a return of some of the shale rigs.
No one knows where speculators will drive oil but yesterday was a key indicator where resistance lies. The reasons for the rallies and selloffs that are given in the media, I have learned, are mostly hogwash. Why was the supply issue a concern yesterday but not the week before? Everyone knows that oil is cheap now so there are huge long positions in play. Yet, the fundamentals do weigh and that triggers sell-offs and profit taking. I would say just enjoy the volatility and trade the range! I think we are safe with WTI between $34 and $40 for awhile.
I agree, oil can't really rally too much beyond $40 with the supply issues we are having. Production drops will be too gradual over the coming months and with $40 oil we will see rig counts creeping up again which is what will really push the price back down. My guess is we will be very volatile for the next couple months. But that's a good thing...money can be made in both directions.