• 4 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 7 minutes Countries with the most oil and where they're selling it
  • 10 minutes Stack gas analyzers
  • 13 minutes What Would Happen If the World Ran Out of Crude Oil?
  • 9 hours US Military Spends at least $81 Billion Protecting OPEC Persian Gulf Oil Shipping Lanes (16% DoD Budget)
  • 57 mins "Undeniable" Shale Slowdown?
  • 4 hours Climate Change Protests
  • 4 hours China To Promote Using Wind Energy To Power Heating
  • 19 hours Oil at $40
  • 10 hours U.S. Refiners Planning Major Plant Overhauls In Second Quarter
  • 3 hours How many drilling sites are left in the Permian?
  • 10 hours Gas Flaring
  • 9 hours Mueller Report Brings Into Focus Trump's Attempts to Interfere in the Special Counsel Investigation
  • 14 hours Japan’s Deflation Mindset Could Be Contagious
  • 2 days Trudeau Faces a New Foe as Conservatives Retake Power in Alberta
  • 18 hours Negative Gas Prices in the Permian
  • 1 day Ecoside

Breaking News:

Guaido Takes Strides To Topple Maduro

However You Look At It Petrobras Is A Buy

Trade ideas usually come from one of two sources. Either they are fundamental or technical. Fundamental ideas reflect a change, or more often an expected change, in the fortunes of a company or the broader economy. That may be realizing a higher price for their product, increasing sales through higher demand, or it may be improving margins. Sometimes it is company specific and sometimes it is industry wide. Ideas of a technical nature come from the analysis of charts. Logically, historical patterns in pricing should not have any impact on the current price of a stock, nor any predictive quality. In reality, though, traders and investors pay attention to them, making certain patterns and levels worth paying attention to.

The best ideas, of course, are those that combine fundamental and technical analysis when both point to the same thing. One word of warning here, though; we are all human beings and as such are subject to something that psychologists call “confirmation bias”. In a nutshell this is our natural tendency to give more weight to things that confirm our preformed opinions than we do to things that challenge them. Inevitably a trade idea comes first from one of the two types of analysis and we have to be careful not to simply search for confirmation in the other. That is particularly true when the fundamental analysis comes first as there are many ways of reading and interpreting a chart.

For that reason, when I arrive at an idea by fundamental…




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