Oils Can Be Great Trades

[Scataphagos]

Oil stocks can be great trades!

Oil is both economic and political. We've got US government always wanting either more production or less... less production to "increase the price of oil to get more from exports"... or "more production" to keep the price of gasoline and heating oil down... (Incumbent politicos don't want to face an election with gasoline at $5/gal.) OPEC, the same. Shale drillers/producers in US last cycle were, "let's produce all we can"... but now, "let's produce less to get a higher price".

Best chance traders have is to ignore the noise and "trade the charts." (Gee.. where have you heard me say THAT before?)

KISS, baby.

 

[nooby_mcnoob]

Oil stocks can be great trades!

But oil is both economic and political. We've got US government wanting either more production or less. OPEC, the same. Shale drillers in US last cycle were, "let's produce all we can"... but now, "let's produce less to get a higher price".

Best chance traders have is to ignore the noise and "trade the charts."

KISS, baby.

Have loved trading oil the past couple of months. Was always scared that I wouldn't be able to. Turns out... trading the charts is fine.

 

[mason macgregorson]

same is true for CL futures; I have a couple of bots that a aver ~2 trades/day and gross $238/trade at 3 contracts/trade.

 

[Overnight]

same is true for CL futures; I have a couple of bots that a aver ~2 trades/day and gross $238/trade at 3 contracts/trade.

Now THAT is the definition of scalping. That's like 9 ticks per trade. CL had a 400+ tick range today. Gosh I miss that one so.

 

[KCalhoun]

I'm short oil by being long SCO inverse, at least recently.

https://www.cnbc.com/quotes/SCO


For long oil there's USO UCO etc

 

[Overnight]

I'm short oil by being long SCO inverse, at least recently

Good grief, why do you over complicate such things? If you want to short oil, why not just short oil, instead of longing an inverse? lol

There are bears and bulls, but you seem to be a "bearull".

 

[KCalhoun]

Ye olde fear of unlimited risk with shorts for swing trading gaps. Though good point maybe I'll try daytrading short oil stocks (and crypto) on weakness

 

[Overnight]

Ye olde fear of unlimited risk with shorts for swing trading gaps. Though good point maybe I'll try daytrading short oil stocks (and crypto) on weakness

Keep in mind, longing oil no longer has limited risk, since the CME dopes removed the lower-trading limit, as you saw last year.

 

[nooby_mcnoob]

Ye olde fear of unlimited risk with shorts for swing trading gaps. Though good point maybe I'll try daytrading short oil stocks (and crypto) on weakness

there are CL futures options as well, not sure what the spread is like though.

 

[Overnight]

there are CL futures options as well, not sure what the spread is like though.

The idea of FOPS baffles me. I am sure it is great stuff, but damned, that is just...

Well, wait. We know people who trade options on stocks are bat-shit crazy. But what are people who trade options on futures called? Llama crazy?