06-25-2021, 03:51 PM
Sold a put in EOG and XLE. Near the money as I don't mind owning more long shares. I think I will do that every Friday when they expire until mid AUG or $80 oil, whichever comes first. A few more months of reopening travel by then and more businesses at full capacity. Nothing magical about $80 other than every oil company should have a full quarter of very profitable prices by then.
New money in energy just feels better to me right now than most defensive stocks at current PEs. As I think Eric said it's hard to imagine crude going below $60. You could hang out in an oil stock there about risk free.
New money in energy just feels better to me right now than most defensive stocks at current PEs. As I think Eric said it's hard to imagine crude going below $60. You could hang out in an oil stock there about risk free.