• 3 minutes In a Nutshell...
  • 5 minutes CV19: New York 21% infection rate + 40% Existing T-Cell immunity = 61% = Herd Immunity ?
  • 7 minutes Australian renewables zone attracts 27 GW of solar, wind, battery proposals
  • 9 minutes Why Oil could hit $100
  • 6 hours COVID is real now
  • 1 day Is Biden the poster child for White Privilege ? DNC needs to replace him now before it's too late.
  • 14 hours The Boris Yeltsin of America
  • 9 hours Where is Alberta, Canada headed?
  • 23 hours Why Putin is popular in Russia
  • 2 hours Is The Three Gorges Dam on the Brink of Collapse?
  • 4 hours Joe Biden offers advice to correct the public health
  • 9 hours There Has Been No Trump Manufacturing Boom Even Before Covid
  • 20 hours Fauci: "USA will soon have 100K new cases per day". Trump re(p)-lies: "The problem has been fixed"

Breaking News:

Oil Climbs On Major Crude Draw

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

The Market Tells Me All I Need to Know

This is the mantra with which I will start my first entry for oilprice.com subscribers and will head everyone thereafter – it has been my guiding principle in my trading and has served me well.  Never be so smart that you can’t be swayed in your judgment by what the market is telling you. In the end, being right is nothing – making money is everything. 

So, what is the market telling me this week? 

There’s been a slackening in the WTI-Brent spread over the last 3 weeks of December, from over $25 premium to under $20, although in the last day or so we’ve seen a move just slightly over that round number again.  Now, we’ve seen moves back and forth in the WTI-Brent spread before, and to quote a monster commercial oil trading friend of mine “If I’m ever convinced to try and trade this spread again, promise to shoot me” – meaning that I’m not about to try to tell you precisely how more ‘normalized’ the spread might become or when it will make another run back to the highs.

All I will tell you is that the market in this spread is trending lower and has pressure on it, at least temporarily – and that will bias many of the trades I will look at over the next week and perhaps several, depending on where the spread goes from here.  Here are two of those trades:

First, a WTI/Brent spread with this kind of downwards pressure is going to put an UPWARDS…




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