You and I certainly agree on the aspects of the oil price. I think we're near a bottom and I would go long if I had some money to invest. But I don't.

 

One of my favorite all time trading sayings...

 

"People who pick bottoms, get s*** on their fingers."

 

In other words you are much safer with the momemtum, then you are against the tide. Let the market turn before you make your move.

One of my favorite all time trading sayings...

 

"People who pick bottoms, get s*** on their fingers."

 

In other words you are much safer with the momemtum, then you are against the tide. Let the market turn before you make your move.

It's the wrong way to say it, but the market will recover and go up from here, even if it goes lower before coming back up. It's just a matter of time.

It's the wrong way to say it, but the market will recover and go up from here, even if it goes lower before coming back up. It's just a matter of time.

Of course, thing with futures is, you have to think future of the future. I'd have to go look at the current prices, but I'd be some people have already bought into this very thing, so there may not be enough play in there. Interesting opportunity, though, potentially.

Crude traded as low as $50.50 today, with it settleing at a new 19 month low of $51.21. Gasoline traded under $1.3500 for a while, before ended up at $1.3693. Damn there must be an election around the corner or something...

Crude traded as low as $50.50 today, with it settleing at a new 19 month low of $51.21. Gasoline traded under $1.3500 for a while, before ended up at $1.3693. Damn there must be an election around the corner or something...

 

 

Yeah. Bush is holding down the price of oil so as to ensure a Republican wins in 2008.

 

 

The energies are getting beat up again. Crude has made a run down to 50.05 before bouncing back to the old support line of 50.50. Gasoline is under 1.3500, with heating oil and natural gas also taking big losses today.

 

The fun number for today is the big round number of $50.00 If crude can close under that, expect OPEC to act quickly, to try to stop the bleeding. If they do not, we could be talking limbo... How low can you go?

For anyone curious...

 

Following up on the earlier discussion in this thread about buying oil, and entering the commodities market, there are now some interesting options out there not previously available. Deutsche Bank and Powershares have teamed up on some commodity-based ETF's for specific commodities (oil, gold, silver) and sectors (agriculture, energies, etc.). Here is a list of the funds:

 

PowerShares DB Agriculture Fund (DBA)

PowerShares DB Base Metals Fund (DBB)

PowerShares DB Energy Fund (DBE)

PowerShares DB Oil Fund (DBO)

PowerShares DB Precious Metals Fund (DBP)

PowerShares DB Silver Fund (DBS)

PowerShares DB Gold Fund (DGL)

 

This gives a way for people to dip their toes into the commodities markets if they want to try that, without as much risk as actually trading futures. Other fund houses may already have similar ETF's, or may be planning them for the near future. Just something to consider.

 

Here is an article explaining briefly how they work, including how they manage continuous positions over multiple contract periods, etc.