• 4 minutes Ten Years of Plunging Solar Prices
  • 7 minutes Hydrogen Capable Natural Gas Turbines
  • 10 minutes World looks on in horror as Trump flails over pandemic despite claims US leads way
  • 13 minutes Large gas belt discovered in China
  • 2 hours Would bashing China solve all the problems of the United States
  • 4 hours Model 3 cheaper to buy than BMW 3 series.
  • 30 mins Thugs in Trumpistan
  • 7 hours China To Boost Oil & Gas Exploration, As EU Prepares To Commit Suicide
  • 5 hours Pompeo's Hong Kong
  • 6 hours Yale University Epidemiologist Publishes Paper on Major Benefits of Hydroxchloroquine for High-risk Outpatients. Quacksalvers like Fauci should put lives ahead of Politics
  • 2 hours China’s Oil Thirst Draws an Armada of Tankers
  • 4 hours Coronavirus hype biggest political hoax in history
  • 18 hours US-China tech competition accelerates: on Friday 05/15 new sanctions on Huawei, on Monday 05/18 Samsung chief visits China
  • 3 hours Chicago Threatens To Condemn - Possibly Demolish - Churches Defying Lockdown
  • 17 hours Income report showing potential future spending and economic growth
  • 19 hours The CDC confirms remarkably low coronavirus death rate. Where is the media?
  • 1 day COVID 19 May Be Less Deadly Than Flu Study Finds
Dan Dicker

Dan Dicker

Dan Dicker is a 25 year veteran of the New York Mercantile Exchange where he traded crude oil, natural gas, unleaded gasoline and heating oil…

More Info

Time To Strike In The Shale Sector

There’s been a fascinating turnaround in the oil stocks in the past few days, and we are looking at the seismic rebalancing into energy that is not just being created by machines or tactical hedge funds. As oil has been drifting lower, we’ve found a lot of strength in energy shares, even though the general stock indexes have been exceedingly weak. Take note, traders: the time has come.

We’ve been exceedingly patient on oil and oil stocks and both have followed the timelines that I laid out here in columns and in my book. Two things, however, have acted on me to make a minor timeline adjustment; One, the acceleration of oil stocks to the downside in the early summer even as oil remained near $60 and the lack of rapid M+A among the shale players. Consolidation may yet come, but this can no longer be the only trigger for investment – as stocks have acted weak while oil was strong, now the stocks are beginning to rally as oil fights to remain near springtime lows.

Oil won’t make significant new lows, folks. I’ve said that all along and still believe it. Thinking only about Canadian oil, where basis prices are already in the $20’s, there’s a level of ridiculousness that won’t be breached. And we’re finally seeing some true reality checks inside the quarterly reports just out of the mini-majors and shale producers, as well as some fundamental signs of the supply destruction yet to come.

The EIA still uses…




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