• 4 minutes What If Canada Had Wind and Not Oilsands?
  • 8 minutes EU Confirms Trade Retaliation Measures vs. U.S. To Take Effect on June 22
  • 17 minutes Could oil demand collapse rapidly? Yup, sure could.
  • 6 hours Tariffs to derail $83.7 Billion Chinese Investment in West Virginia
  • 5 hours U.S. Withdraws From U.N. Human Rights Council
  • 5 hours EU Confirms Trade Retaliation Measures vs. U.S. To Take Effect on June 22
  • 1 hour "The Gasoline Car Is a Car With a Future"
  • 9 hours Could oil demand collapse rapidly? Yup, sure could.
  • 3 hours What If Canada Had Wind and Not Oilsands?
  • 2 hours Saudi Arabia turns to solar
  • 10 hours North Korea, China Discuss 'True Peace', Denuclearization
  • 3 hours Russia's Energy Minister says Oil Prices Balanced at $75, so Wants to Increase OPEC + Russia Oil by 1.5 mbpd
  • 10 hours WE Solutions plans to print cars
  • 2 hours EVs Could Help Coal Demand
  • 7 hours Kaplan Says Rising Oil Prices Won't Hurt US Economy
  • 11 hours Gazprom Exports to EU Hit Record
  • 15 hours Hey Oil Bulls - How Long Till Increasing Oil Prices and Strengthening Dollar Start Killing Demand in Developing Countries?
  • 1 day Oil prices going down
  • 1 day Russia, Saudi Push For Big Hike In Oil Output Despite Iran Opposition
Alt Text

Why OPEC Won't Flood The Oil Market

Saudi Arabia and Russia are…

Alt Text

China Deals Shocking Blow To Solar Industry

China surprised the markets by…

Alt Text

Venezuela Won’t Have Enough Oil To Export By 2019

GlobalData recently projected that Venezuela’s…

Martin Tillier

Martin Tillier

More Info

Trending Discussions

Weakness In This Stock Defies Logic

Stock

One of the most common mistakes made by traders and investors is the assumption that the market that they are in is logical. They think that, with all the money at stake and all the high-powered minds devoted to trading, the price of anything must reflects a sober consideration of all factors. In reality, markets are more mob rule than collective wisdom, and group think exaggerates faults as much as it reflects analysis.

Traders quickly learn that, and two things then become apparent. The first is that there is no point in opposing an illogical move in the short term; as the old saying goes, the market can stay illogical a lot longer than you can stay solvent. The second is that, despite that, logic does eventually win out at some point, so you should keep an eye out for things that run counter to common sense. Take the situation with Solaris Oilfield Infrastructure (SOI) for example.

SOI, like a lot of energy stocks, generally moves in direct correlation with oil prices. In this case, though, it makes no sense. As their name suggests, Solaris is not an oil company but an oilfield infrastructure company. More specifically they provide mobile proppant services for shale oil operations. It is generally accepted that what is holding oil down despite OPEC’s actions and rapidly increasing global growth is the continued increase in U.S. shale oil production, and that has to benefit a company that services those operations. For SOI to fall on lower oil prices that…

To read the full article

Please sign up and become a premium OilPrice.com member to gain access to read the full article.

RegisterLogin

Trending Discussions





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