Dividend Growth Forum

Energy remains en fuego.

WTI over $75 and natural gas over $5.50 this morning.

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I was waiting to hear from the oil moon boys today.

I have a few oil positions that look like they will run into my covered calls. I was in a little deeper in oil that I like so I will rejoice.

XOM does not hedge nat gas? Is that true for most majors?

https://oilprice.com/Energy/Oil-Prices/B...risis.html BofA saying oil to $100

Well Cathie said it will be worthless as whale oil soon.     She is masterful at staying on page one of financial media.

I am almost certainly going to be called out of all my oil in a week or two.  XLE-XOM-RDS-EOG.

(10-01-2021, 03:19 PM)fenders53 Wrote: [ -> ]Well Cathie said it will be worthless as whale oil soon.     She is masterful at staying on page one of financial media.

I am almost certainly going to be called out of all my oil in a week or two.  XLE-XOM-RDS-EOG.

You never know, market is really choppy, Cathie is just a salesman selling her product and taking advantage of the situation. I stopped listening to her long time ago.

(10-02-2021, 12:02 AM)vbin Wrote: [ -> ]

(10-01-2021, 03:19 PM)fenders53 Wrote: [ -> ]Well Cathie said it will be worthless as whale oil soon.     She is masterful at staying on page one of financial media.

I am almost certainly going to be called out of all my oil in a week or two.  XLE-XOM-RDS-EOG.

You never know, market is really choppy, Cathie is just a salesman selling her product and taking advantage of the situation. I stopped listening to her long time ago.

I stopped listening to everyone on oil long ago.  The more bullish they were the more money I lost.  They are all fortune tellers one year from now.  Oil looks pretty strong right now.

XLE has given me a good return as I bought in November 2020 but long term oil seems to be a trap. I just got lucky and played an oversold commodity at the right time.


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(10-02-2021, 11:48 AM)bankerboy Wrote: [ -> ]XLE has given me a good return as I bought in November 2020 but long term oil seems to be a trap. I just got lucky and played an oversold commodity at the right time.


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Commodities are VERY tough.  You have to have the courage to buy when they are truly beaten down, and the good sense to not be greedy and lighten up some when they fly.  I'm not suggesting you have to sell out all at once but if you hold for years you will likely give it all back and then some.  God help you if you chase a commodity that already ran and convince yourself this time it's different, it's a super cycle for sure.  90% of commodities have extreme bust cycles at the first sign of a recession threat.  Oil may well run to $150 but that talk makes me nervous as it will kill world economic growth.

Agree. Will keep it a bit longer then say goodbye....


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(10-02-2021, 01:57 PM)bankerboy Wrote: [ -> ]Agree. Will keep it a bit longer then say goodbye....


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I am going to lose my shares to covered calls but I will watch for an entry this winter.  I am pretty confident  demand will be very strong next summer.  I am pretty confident OPEC+ is capable of adding to supply.  Can they pump enough if the US producers remain conservative?  There is no oil shortage but there could be a production shortage.  Too many institutions that can't invest due to ESG so it has to be more than good for oil companys prices to run vs oil prices.