You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an alternative browser.
You should upgrade or use an alternative browser.
CL Redux
- Thread starter schizo
- Start date
1/ Market voted New pipe line from Cushing to Refinaries as Bullish
-- Refinaries and Big Traders are happy to 'Sell the Eurpoe Gasoline at this high prices ' buy 'Cheap WTI oil' at Cushing , take it to Refineries with New pipeLine (700,000 Barrels a day starting from JAN ) and Deliver gasoline to Europe.
2/ WTI volatility may increase, but you will have time to know ahead. These Pipe lines may run into Delays and won't operate at full capacity at the beginning etc..
3/ This LOW WTI volatality for last month or so is good, once you understand it , you can go SHORT and LONG 'DAY POSITION Trades at DAY extreme price values' ( not 15-20 tick SCALP trades) with out Worrying about STOPS since the day Range is 100 to 125 ticks ( except the extreme days like Tuesday, that is one day in 30 days . )
-- Refinaries and Big Traders are happy to 'Sell the Eurpoe Gasoline at this high prices ' buy 'Cheap WTI oil' at Cushing , take it to Refineries with New pipeLine (700,000 Barrels a day starting from JAN ) and Deliver gasoline to Europe.
2/ WTI volatility may increase, but you will have time to know ahead. These Pipe lines may run into Delays and won't operate at full capacity at the beginning etc..
3/ This LOW WTI volatality for last month or so is good, once you understand it , you can go SHORT and LONG 'DAY POSITION Trades at DAY extreme price values' ( not 15-20 tick SCALP trades) with out Worrying about STOPS since the day Range is 100 to 125 ticks ( except the extreme days like Tuesday, that is one day in 30 days . )
Quote from roreilly:
I have been thinking about the pipelines from Cushing, and the general assumption that oil supplies at Cushing will be drawn down. Putting aside whether this is bearish or bullish, have you given any thought as to whether this will increase WTI volatility, or reduce it. I tend to think that with less supplies on hand, we would have more volatility, for two reasons. The first is simply that there will be less supplies to cushion the extremes. and the second is that if storage is easier and cheaper, more (time) arbitrage players will come into the market. Any thoughts? I figure this is would be a significant consideration in your trading.