Betting on Vaccines (Energy)
3 responses | 0 likes
Started by joj - Nov. 18, 2020, 7:50 a.m.

If you look at crude oil it has made an $80 move from negative $38 to the low 40s.  And it has gone sideways since then for several months.  The next few months could make for a long winter with the virus inhibiting people from traveling.  But if/when the vaccine becomes widely available, people who have not vacationed or seen loved ones will travel in droves.  I can see 30-50 bucks on the upside.  Play it in futures or in energy. stocks.  

Of course "all things being equal" is the caveat as well as a successful distribution of the vaccines.

Comments
By mcfarm - Nov. 18, 2020, 8:12 a.m.
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maybe just maybe Biden/Harris outlawing crude and fossil fuels in general might play a slightly bigger role in the future of crude

By Richard - Nov. 19, 2020, 9:51 a.m.
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While I agree with everything you are saying, IF Biden does a lock down for say 3 or 4 weeks, we could see $25 oil again and buying here would crush you if you are leveraged and make a buy and hold feel pain before you were rewarded. Timing is everything. I mean in the next 20 years, Israel could attack Iran also, but buying and holding oil for that would also be crazy.

By joj - Nov. 19, 2020, 2:37 p.m.
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I don't think Biden has the authority to lock down.  I think it is state by state.

I think there will be lock downs in many places and people will travel less for their own personal safety, but I think that is mostly known and in the market.  I'll be a buyer in the mid 30's.  

I can't believe the perma oil Bull of MF is hesitating to join me in a bullish argument for crude.