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The price of oil..... on 17:04 - Apr 20 by BloomBlue
Although if it's only a single day couldn't it just as easily go up 50% tomorrow ie isn't the value over a longer period more important ?
The bloodbath continues, it's getting smashed into oblivion, down about 70% in just a single day. If that's not a long-term buy opportunity I don't know what is!
Often the price (from all the automated high frequency trading actions) gets taken to where traders will have their stops set (usually below previous lows or above previous highs), so they all get taken out of the game (ouch!), and then the price will usually stabilise and form a bottom of some sort, before eventually finding some support and working its way back up again. If it goes much lower we will all be able to fill our cars up for free at this rate! :-)
The price of oil..... on 18:10 - Apr 20 by midastouch
The bloodbath continues, it's getting smashed into oblivion, down about 70% in just a single day. If that's not a long-term buy opportunity I don't know what is!
Often the price (from all the automated high frequency trading actions) gets taken to where traders will have their stops set (usually below previous lows or above previous highs), so they all get taken out of the game (ouch!), and then the price will usually stabilise and form a bottom of some sort, before eventually finding some support and working its way back up again. If it goes much lower we will all be able to fill our cars up for free at this rate! :-)
[Post edited 20 Apr 2020 18:25]
Yes, for anyone with deep pockets & a 2-3 year time horizon,I think it's a great opportunity.
The price of oil..... on 08:08 - Apr 20 by Steve_M
Although the current drop probably reflects the fact that storage, including floating storage is largely full - tanker rates have been going up for weeks - and that demand is still much reduced. It won't stay that low permanently.
The thing about fracking is that, on a technical level, the marginal cost of production is tiny so the debt is largely occurred in the initial phase. That changes the response to low prices.
It'll delay the whole process of fracking tho, & it's that in the end which will be the final nail in the coffin for fracking in the UK.
The tide of public opinion is now inexorably gathering strength against it happening here, fuelled by simultaneously increasing awareness of climate change, with the majority of the public getting onside to cut their own carbon footprints. That will help influence local councils towards not granting new licences & refusing to renew others. If central Govt. then tried to over-ride local decisions as has happened previously, there'd be an absolute outcry; and in any case, HMG are going to be overloaded dealing with more immediate challenges for the forseeable future, including the economy post-Covid_19, to bother much with flogging the dead horse of UK fracking.
The Fed are buying junk bonds and that will keep the US shale producers in business. This administration, with its America first message, will not let US shale cease. The US is energy independent and they will want it to stay that way.
This will make it far harder to work through the inventory though, and if the economy doesn't get going soon some of the bigger players could go to the wall.
Also, money for capex will be burnt through to maintain the current position so costly exploration will disappear for the next 5 years or so, so if we do not shift our economies from hydro-carbons we are storing up a shortage and price rises in the longer term.
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The price of oil..... on 11:57 - Apr 21 with 1134 views
23p a litre for me at the moment, almost, but not quite the lowest I have ever paid for oil.
Last time we put some oil in the tank was just after Trump had blown up that Iranian general. We only topped it up with enough to keep us going at that point, filling it up to the top now, this is balancing the price of a full tank out a bit.
The price of oil..... on 11:57 - Apr 21 by GeoffSentence
23p a litre for me at the moment, almost, but not quite the lowest I have ever paid for oil.
Last time we put some oil in the tank was just after Trump had blown up that Iranian general. We only topped it up with enough to keep us going at that point, filling it up to the top now, this is balancing the price of a full tank out a bit.
The price of oil..... on 22:25 - Apr 20 by Bent_double
Anyone got a large garage to store a few million barrels?
Andrew Neil: Oil trading when price collapses ... In 1990, Phibro, oil-trading arm of Salomon Brothers, loaded tankers with very cheap crude just before Iraq invaded Kuwait. Crude prices surged. Trader behind this play had $100m payday and bought castle in Germany (no idea why you’d do that). Today’s market conditions have inspired emulators. In the past four weeks, nearly 50 long-term contracts have been signed for oil tankers, at least 30 intended for storage. South African coast is popular anchorage – relatively equidistant to markets in Asia, Europe and Americas.
The price of oil..... on 13:33 - Apr 21 by Radlett_blue
Andrew Neil: Oil trading when price collapses ... In 1990, Phibro, oil-trading arm of Salomon Brothers, loaded tankers with very cheap crude just before Iraq invaded Kuwait. Crude prices surged. Trader behind this play had $100m payday and bought castle in Germany (no idea why you’d do that). Today’s market conditions have inspired emulators. In the past four weeks, nearly 50 long-term contracts have been signed for oil tankers, at least 30 intended for storage. South African coast is popular anchorage – relatively equidistant to markets in Asia, Europe and Americas.
There are usually tankers anchored off the coast between Yarmouth and Lowestoft.
The price of oil..... on 13:43 - Apr 21 by Pinewoodblue
There are usually tankers anchored off the coast between Yarmouth and Lowestoft.
On a slightly different note, they had one of the new aircraft carriers just off Lowestoft (the most easterly point of England) fairly recently (you might of already heard about that, see the following link). https://www.edp24.co.uk/news/hms-queen-elizabeth-coast-lowestoft-1-6511770 I'm not far from there. Was quite a long way out. Would of been better with binoculars.
The price of oil..... on 12:08 - Apr 21 by Pinewoodblue
Sounds like a prudent purchase.
Makes a very interesting point about oil stocks in the above video. Some of them are still holding up surprisingly well at present. Video is just under 9 minutes long.
The price of oil..... on 18:10 - Apr 20 by midastouch
The bloodbath continues, it's getting smashed into oblivion, down about 70% in just a single day. If that's not a long-term buy opportunity I don't know what is!
Often the price (from all the automated high frequency trading actions) gets taken to where traders will have their stops set (usually below previous lows or above previous highs), so they all get taken out of the game (ouch!), and then the price will usually stabilise and form a bottom of some sort, before eventually finding some support and working its way back up again. If it goes much lower we will all be able to fill our cars up for free at this rate! :-)
[Post edited 20 Apr 2020 18:25]
And oil is up a bit today. It's currently about $16 a barrel. I said when it went down to nearly $5 a barrel it didn't look a bad time to buy (i.e. buy when everybody is running scared!), could of cashed out right now for around a 200% return in 2 days. That would of been nice hey! The reason that was a good place to buy is because there was such a strong support line (as I drew at the $10 level - see the black rings above) which had been tested two times before and both times it ended up holding that important level.
The price of oil..... on 13:33 - Apr 21 by Radlett_blue
Andrew Neil: Oil trading when price collapses ... In 1990, Phibro, oil-trading arm of Salomon Brothers, loaded tankers with very cheap crude just before Iraq invaded Kuwait. Crude prices surged. Trader behind this play had $100m payday and bought castle in Germany (no idea why you’d do that). Today’s market conditions have inspired emulators. In the past four weeks, nearly 50 long-term contracts have been signed for oil tankers, at least 30 intended for storage. South African coast is popular anchorage – relatively equidistant to markets in Asia, Europe and Americas.
We've got a bunch of tankers in holding formation off the Gower coast. And a car transporter as well, so not sure what that's all about unless the ports are working to reduced capacity and can't get them in.
The price of oil..... on 16:00 - Apr 22 by Swansea_Blue
We've got a bunch of tankers in holding formation off the Gower coast. And a car transporter as well, so not sure what that's all about unless the ports are working to reduced capacity and can't get them in.
Bulk carriers going into Port Talbot by the looks of it:
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