follow us like us subscribe contact us
Loading, please wait

Premium Article Archive

  • How Cool Heads Can Prevail In This Panic

    The oil market’s in freefall, the stock market is in freefall.  You’re taking losses, big losses, in stocks that you bought – not at the top of the market where valuations were high – but at areas you thought were terrific long-term propositions.  What do you do now?I am precisely where you are right now, because I am an oil trader, first and foremost.  And I can’t tell you what is going to be right for you, I can only tell you what is right for me.  And for right now, I’m standing pat and even committing a little more…

  • Dealing With Losses

    Unfortunately most investors in general and energy investors in particular are probably looking at some pretty alarming losses in their portfolios after the events of the last few weeks. Over time your performance as a trader or an investor doesn’t depend on whether you have any losses, as some positions going against you is one of the few certain things in a trader’s world. What counts in the long run is how you deal with them when they come.Understanding that not all investments will work out is the first step in dealing with adversity. If you know that sometimes even…

  • How Fusion Energy Could One Day Disrupt Energy Markets

    Fusion is thirty years away…and always will be. That is an oft-repeated cliché concerning one of the world’s most coveted – and so far unreachable – sources of energy. However, some recent developments in fusion energy technology could one day make that phrase obsolete. Fusion energy is the phenomenon that powers the stars. Unlike conventional nuclear fission, where a uranium atom is split, giving off enormous volumes of energy, nuclear fusion is the process by which two hydrogen atoms are slammed together. This also gives off a vast quantity of energy, and with it, the promise that man can harness…

  • Global Energy Advisory – 17th October 2014

    Geopolitical HighlightsKurdish CrudeBaghdad has banned three foreign oil tankers from entering Iraqi ports. United Carrier, United Dynamic and Nautilus—all of which have transported Kurdish crude and bypassed the Iraqi central authorities--have been banned. United Dynamic and United Carrier are managed by Greece-based Marine Management Services, which has previously been targeted by Baghdad in a September lawsuit over Kurdish crude. The ban is just a small hiccup in a burgeoning business of unilateral sales of Kurdish crude on international markets. This week, another tanker registered in the Marshall Islands left the Turkish port of Ceyhan with 1 million barrels of Kurdish…

  • Pressure May Remain On Oil Prices

    Weekly Natural Gas OutlookLast week, December Natural Gas futures traded through the July 28 bottom at 3.877, putting the market in an extremely bearish position. Since there is still time before the start of the winter heating season, it looks as if this market still has work to do on the downside before becoming attractive enough for buyers. As long as the product keeps coming into inventory and the cold weather stays away, the charts indicate that the market still has room to the downside. One target is the 2014 low at 3.0990. The next is last year’s fall bottom…

  • Oil Panic Favors The Bold

    There’s panic in the air. You can feel it.  The market for oil has been dropping daily, now trading under $85 – under $90 for Brent North Sea grades.  The headlines on CNBC are all about the turmoil, the volatility and uncertainty with investments.It’s an environment where traders tend to shine.I’m not going to try to predict the bottom in oil – when there’s this much panic surrounding a market, I know from experience that markets can wildly overdo what the fundamentals will tell you are the limits of market moves.  Now is the time, however, to assess those fundamentals…

  • Why Appearances Can Be Deceiving In European Oil Markets

    When markets in general or particular sectors come under pressure, those of us of a contrarian bent start looking around for bargains. Oil company stocks and European stocks have both been under enormous pressure recently, so many are looking at European oil stocks as particularly cheap. That is only natural and is generally a good investing strategy, but some degree of care is called for. Sometimes a cigar is just a cigar and sometimes stocks that have dropped have done so for good reason. To demonstrate that point, let’s take a look at two large European diversified oil companies, Total…

  • Who Loses in an Oil Bear Market

    The bear market for oil has arrived. Brent crude has dropped by more than 20 percent since hitting a multiyear high in June. Now hovering around $90 per barrel, oil traders are no longer confident that oil prices have reached the bottom. Low oil prices are great for consumers. They act as a tax cut – more money in people’s pockets can have a material effect on purchasing power, and can provide a modest boost to consumer economies. But a sudden drop in oil prices is not good for everyone. And the latest turmoil within the oil cartel OPEC suggests…

  • Global Energy Advisory – 10th October 2014

    Geopolitics & Domestic PoliticsBulgariaOn the election front, Bulgaria’s center-right Citizens for European Development (GERB) won snap elections last week, and will likely receive around 90 seats in the 240-seat parliament, followed closely by the Socialists and ethnic Turkish Movement for Rights and Freedoms, which will each gain around 70-80 seats. It will be very challenging to form a stable coalition under these circumstances. From the oil and gas perspective, what’s at stake here immediately is a Russian gas pipeline that would give Moscow more leverage over Europe’s energy. Earlier this year, the Bulgarian government announced it would suspend work on…

  • Crude Oil And Energy Stocks Suffer As Natural Gas Futures Brighten

    Weekly Crude Oil OutlookSupport for crude oil futures continued to erode last week due to concerns about high supply. Technically, both Brent and West Texas Intermediate (WTI) crude oil are both headed toward bear market territory for the year as they rapidly approach a 20% correction from their 2014 highs.   Supply concerns continue to be triggered by overproduction by the U.S., Russia and Saudi Arabia. Improvements in drilling technology are helping to drive up supply in the U.S. while Russia is most likely selling crude oil to raise cash due to the effects of the European sanctions on the country.…