Insider Secrets

Insider Secrets

Learn how the PROs are making money from the oil and energy market.

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Premium Article Archive

  • Oil Will Be The Place To Be In 2016 And 2017

    After insane volatility in oil and oil stocks, a recap on the macro scene in energy and the few specific stocks need updating after this week's carnage (and only partial recovery). First, to the macro: Oil and oil companies continue to follow the timetable of destruction whose path began almost exactly one year ago today. Of the five major inputs to the decline on oil that I outlined in my book leading to oil's continuing price collapse, it is obvious that the Chinese GDP fantasy (and also the Yuan devaluation race) was the straw that broke oil's back on Monday…

  • Is It Time To Jump Aboard The Railroads?

    Once a view takes hold among analysts and traders regarding a particular sector or industry it can be remarkably resilient.Usually the view starts based on logic and reality, but once it becomes conventional wisdom cracks can begin to appear in both areas. Objectivity disappears when every piece of news or change in conditions is viewed only from the perspective of how it could be bad for the stocks, and that often leads to contradictions that border on the ridiculous.The case against North American railroad stocks is an example. Obviously there are several factors that have caused the value of those…

  • Can Oil Companies Keep Paying Dividends?

    Now that oil prices have plummeted to six-year lows – lower than the bottom oil prices touched earlier this year – everyone is starting to wonder whether or not the juicy dividends offered by some of the largest oil and gas companies are sustainable. After all, how can such generous levels of payouts survive a 60 percent drop in oil prices? There are several ways that oil companies can correct the hole in their balance sheets, aside from boosting revenues through higher production: cut costs, issue new debt and equity, sell assets, or cut the dividend. Since dividends have been…

  • Global Energy Advisory – 28th August 2015

    Politics, Geopolitics & Conflict The Iraq Update The Kurds are once again going it on their own, selling oil unilaterally, bypassing the Iraqi central government of Baghdad, which cannot meet the financial commitments laid out in a deal that had temporarily resolved the oil dispute. Now, supermajor oil traders such as Vitol and Trafigura are locking in billions of dollars in Kurdish crude oil and shipments of this oil are becoming increasingly regular. Israel has been getting more than one-third of the Iraqi Kurds’ crude exports between May and August. From the Israeli side, this means it has been meeting…

  • Don’t Get Too Excited By The Recovery This Week

    The energy complex was volatile this past week, driven by outside factors and traditional fundamentals. The week began with crude oil under pressure because of a huge sell-off in global equity markets. The catalyst behind the selling pressure was turmoil in the Chinese economy following the previous week’s release of a bearish manufacturing activity report. Investors were looking for action from Chinese officials because the selling pressure and excessive volatility suggested that no one was steering the ship. The People’s Bank of China stabilized the markets on Tuesday when it cut its one-year lending rate and lowered the amount of…

  • Time To Buy For The Long Haul

    Very large macro financial pressures are working on the oil market right now, but I will again reiterate my call that a generational opportunity is emerging here, where oil will not go significantly lower and the oil stocks that are dependent upon its price are reaching levels you won’t ever see again. I particularly want to point out EOG Resources (EOG) at $77 and Hess (HES) at $57.Horrible Chinese data has brought a stock market collapse in the last several days and oil is never outside of the ‘risk off’ trade. As prices for oil dropped insignificantly past the lows…

  • One Of The Best-Positioned Micro Caps In The Market

    With oil continuing its steep decline and now breaking through the psychologically important low from the depths of the recession in 2009, the qualities that investors should look for in an energy company have changed somewhat.A conservative approach to expansion, which was punished in the recent past, is now looking like a smart move. Stock in companies with untapped reserves have been hit as oil has fallen, for sure, but some are beginning to buck the trend of oil’s collapse and level out, or even in some cases recover slightly. Synergy Resources (SYRG), a small, Colorado based exploration and production…

  • Big Data Could Revolutionize Oil And Gas Industry

    Oil and gas drillers are suffering through their darkest hours at least since the financial crisis in 2008 and 2009, if not the worst period since the 1980s. Oil prices could fall to the mid to low $30s per barrel, not only forcing cut backs in production, but potentially forcing an increasing number of producers out of the market entirely. Hercules Offshore (NASDAQ: HERO) just announced plans to file for bankruptcy after the shallow water rig supplier suffered from a rapid decline in business. Samson Resources Corp., held by private equity firm KKR & Co. (NYSE: KKR), plans on filing…

  • Global Energy Advisory – 21st August 2015

    Politics, Geopolitics & Conflict • Following the Iran sanctions game, as it progresses swiftly, Switzerland has now become the first Western nation to put an end to Iran sanctions in the aftermath of the 14 July nuclear deal. What this means is that there will no longer be a requirement to report trade in Iranian petrochemical products. It also means that the ban on precious metals transactions with Iranian state companies has been lifted. Furthermore, there will be no obligation to report the transport of Iranian crude oil and regulations on insurance and reinsurance policies related to such transactions. This…

  • Technicals Not Fundamentals Will Drive A Turn In The Oil Markets

    Crude oil futures plunged to a 6 ½ year low this week, setting in motion a sell-off in unleaded gasoline and energy stocks.The week started with crude oil holding steady after last week’s break. On Tuesday, the American Petroleum Institute (API) provided some support when it reported that crude oil inventories fell by 2.3 million barrels in the week ending August 14. Traders were looking for a decrease of 1.2 million barrels.The API also reported that gasoline inventories decreased by 1.5 million barrels.Support disappeared on Wednesday, however, following the release of the weekly petroleum inventories report by the U.S. Energy…

Martin tiller