going to be running to cover when oil is re-priced before market at 100$ a barrel --blood in the streets baby and well-desereved. This was a bubble waiting to pop. If you are looking to lock in oil prices for your home for the year--wait and see where the market movesin the next week and pounce if you see mid to low 3s
http://www.yahoo.com/s/900517
In short in oil using ETF "DUG". I have been a little early, but Im thinking similar.
What target you think?
Posted by Nalod:
In short in oil using ETF "DUG". I have been a little early, but Im thinking similar.
What target you think?
To volatile to go short. When oil drops in price--always go long the market---look for stocks that will benefit from lower oil prices that have been beaten down like jblu. I ve been playing the energy conservation stocks --namely ENER and SATC--I sold out of ENER this week and still holding 75% of the satc position.
Ill give you a name of a little stock that no one knows about gsit--they have roughly 60mm in the bank with no debt and they are doing very well but the stock hasnt followed---but I think by the end of the year you are looking at a 10-12 $ stock.
BRIGGS: can't someone start looking into what the hedge funds are doing to our country? I mean, they did it to real estate and now they are doing it with energy. This is really bad for society isn't it?
Posted by Silverfuel:
BRIGGS: can't someone start looking into what the hedge funds are doing to our country? I mean, they did it to real estate and now they are doing it with energy. This is really bad for society isn't it?
They created a bubble in commoditites. People don't have to worry about oil long term. It's still too volatile to short in the near term with the crazy momentum and then you have variable factors like Iran Venezuela Iraq Algeria and Nigeria who control roughly as much oil production as Saudia Arabia.
It's not that there is not enough oil right now--it's about the tap---you can only produce so much of anything--we're just using a tad more than can be supplied.
However--what you will see over the next 1-10 years is a dramatic shift in the effeciency of engines and their output. You will see cars that get 40-60 MPG furnaces that burn rate of roughly 1/3 ---solar energy will become very hot over the next ten years. Then you will see oil drop like a hot plate.
What will happen is you will see the return in value to the $ and a bull run in stocks over the next 5-10 years.
If you can afford it--right now a great strategy is to buy distressed housing i.e foreclosures short sales etc.. as a buy + hold on the conservative edge.
Posted by Nalod:
In short in oil using ETF "DUG". I have been a little early, but Im thinking similar.
What target you think?
It's like clockwork nolad--it's easy as pudding in pie--when someone from saudia arabi says the price of oil is tohigh--you buy stock that benefit lower oil prices like i mentioned jblu--you get a quick 10 % pop over a couple of days.
