• 3 minutes Nucelar Deal Is Dead? Iran Distances Itself Further From ND, Alarming Russia And France
  • 5 minutes Don Jr. Tweets name Ukraine Whistleblower, Eric Ciaramella. Worked for CIA during Obama Administration, Hold over to Trump National Security Counsel under Gen McCallister, more . . . .
  • 9 minutes Shale pioneer Chesepeak will file bankruptcy soon. FINALLY ! The consolidation begins
  • 12 minutes China's Blueprint For Global Power
  • 54 mins Science: Only correct if it fits the popular narrative
  • 58 mins Crazy Stories From Round The World
  • 9 hours What are the odds of 4 U.S. politicians all having children working for Ukraine Gas Companies?
  • 7 hours China's Renewables Boom Hits the Wall
  • 14 hours EU has already lost the Trump vs. EU Trade War
  • 1 day Pioneer's Sheffield in Doghouse. Oil upset his bragging about Shale hurt prices. Now on campaign to lower expectations, prop up price.
  • 1 day ''Err ... but Trump ...?'' *sniff
  • 9 hours Do The World's Energy Policies Make Sense?
  • 8 hours Forget out-of-date 'dirty oil' smear, Alberta moving to be world's cleanest oil industry
  • 50 mins Impeachment Nonsense
  • 1 day Tesla Launches Faster Third Generation Supercharger
  • 13 hours Water, Trump, and Israel’s National Security
  • 2 days Passerby doused with flammable liquid and set on fire by peaceful protesters

Breaking News:

Russia Plans To Boost Crude Oil Exports

These Could Be The Winners Of 2016

Conventional wisdom would have it that 2015 was a disastrous year for oil and other energy industry related stocks. Certainly for those that have a long term “buy and hold” mentality that is true, but for those of us who trade more actively the story is a little different. What traders need is movement, regardless of direction. In fact a market that follows a strong trend but bounces around a bit as it does so is just about perfect from a trading perspective and that certainly describes oil and natural gas futures this year. As a result stocks in the energy sector have tended to follow the same pattern, resulting in a lot of opportunity for profit.

The big picture, though, has been pretty dismal. Most commentators (and I will freely admit that I was in that group) thought at the start of 2015 that the worst of the drop in oil was over, and expected the strong support in the low 40s to hold. That looked like a decent prediction early in the year as futures bounced off of that level and recovered to above $60/Barrel, but then rapidly increasing supply and signs of weakness in global demand caused another push down.

(Click to enlarge)

This sustained weakness in oil, as well as a late year collapse in natural gas, put enormous pressure on many small producers. Most soldiered on though, in the belief that a recovery was imminent and that cash flow from very low and even negative margin production was better than shutting down. That, predictably…




Oilprice - The No. 1 Source for Oil & Energy News