Posted on 07/08/2015 10:38:15 AM PDT by bananaman22
Oil’s oversized reaction to negative news from Greece and China on Monday should really have come as no surprise with the value of 20/20 hindsight. I have been writing for some time now that the commodity would break out of its narrowing range and that the more times it failed to break the resistance point at $62, the more likely it was that that break would be in a downward direction. It is logical that the longer that it took, the more violent that break would be. Traders were looking for excuses to sell and last weekend gave them plenty of those. Now that the breakout has happened, the next logical move is a test of the previous lows just below $50 for the U.S. benchmark West Texas Intermediate (WTI) futures. Despite that, though, there are other factors that make it a good time to be buying back into some oil stocks.
(Excerpt) Read more at oilprice.com ...
Ok. So what and when to buy?
Because the NYSE is shut down?
Sure, if you’re a sucker.
A month or so ago, my broker called saying it was a good time to by Chevron at $108. It’s now $93. Has it bottomed out? Who knows.
Same with my guy. Called yestetday to suggest buying more Chevron after I bought at $ 103. I’m going to pass. The market has been flat for a year and I see no reason to be enthusiastic.
Why not buy solar stocks instead as this is happening
read the article son ;-)
We sold our Linn Energy on 12/31/2013 for $30.8919/share. Today it hit a 52-week low at $8.50/share. I hope that the energy stocks go up for the folks who own them, but we’re transitioning to broad based stock index funds.
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