I knew on that OPEC+ news it would be somewhat game changing. The Cdn Energy companies I trade are already flipping to profitable in Q4 so it's a perfect storm really. Only real issue was all the broader market weakness in the US was preventing the full move up. The overall move since October is massive. This is the thing about the TSX; it's highly inefficient at times and will sometimes oversell stocks to a ridiculous degree ( eg MEG at $2.40 in October ).
Gotta love ZERO RISK in the SP500 = $$$
- Thread starter makloda
- Start date
I knew on that OPEC+ news it would be somewhat game changing. The Cdn Energy companies I trade are already flipping to profitable in Q4 so it's a perfect storm really. Only real issue was all the broader market weakness in the US was preventing the full move up. The overall move since October is massive. This is the thing about the TSX; it's highly inefficient at times and will sometimes oversell stocks to a ridiculous degree ( eg MEG at $2.40 in October ).
In this case I agree with him. I expected IT etc to correct 10-15% off the top and then find buyers again. Only so much panic selling possible when some other sectors have no reason to sell off. My opinion a heavier correction if any will occur when the Covid situation is over and earnings/economic expectations are really high. Would I be shocked if we got a sudden 5-7% drop ? No. But it would be bought up imo.
It's weeks like the last one that really get me. I payed the tax man last week, leaving little left over to buy into to the infinite money machine.
And I tell ya', the misleading headlines can be devastating. Before the OPEC+ meeting, the vibe was that they were going to open the taps up. But then apparently they said in the meeting they are only increasing by 100K bbls per day or something, and not the expected 1mil bbl per day. Thus the uuuuge rise in CL and Brent.
Cdn energy plays would have been fine anyways given time even if they did "open the taps". But this helped make it a steller trade immediately. Basically most firms are in great shape at $50 WTI and some at $40. $60+ makes even the least efficient producers viable ( except the ones who went out of business in the summer; not many really in the end ).
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As usual the Sunday gap up in the index futures is 0.50% 25 ES points. Back to the usual overnight drift higher in the US stock index futures.
Sure we get a week mayday two of declines. Thats your buying opportunity lads. This will get back to normal, meaning the overnight ramp up.
Sure we get a week mayday two of declines. Thats your buying opportunity lads. This will get back to normal, meaning the overnight ramp up.
Relax, almost all the overnight losses are gone. Just a shakeout. I will say we end in the green at cash session end of day....3pm cst.
Forget green by days end. We will be green by the cash open.