This oil drilling stock is remarkably cheap. How to trade it with options
The “Dogs of the Dow” is an investment strategy, often employed at the end of a year in anticipation of some potential “mean reversion” that identifies underperforming stocks with high yields. As the name implies, it looks for these within the Dow Jones Industrial Average . The strategy then holds those securities for a year […]
How to profit through options if this oil spike proves short-lived
Oil futures are surging after Israel strategically launched waves of airstrikes against Iran. I want to use options on the Energy Select Sector SPDR Fund (XLE) to produce income as well as properly capture this pop in both crude and brent which I believe will be a short-lived move. Some of Iran’s top military leaders […]
How to bet on a comeback in energy stocks while getting paid to wait
Blue-chip energy names like Exxon Mobil and Chevron have been in a sticky situation lately as WTI Crude oil prices have tumbled since trading nearly $95 in late September, recently tucking under $70 this week. Like the over exaggerated moves in the U.S. Treasury complex as of late, I believe that oil futures and energy […]
How to bet on a comeback in energy stocks, which look primed for a bounce
The energy sector has been beaten down since September and is stuck in a downtrend. However, markets don’t usually go up or down in a straight line. When markets go into oversold or overbought conditions, it is common to see counter-trend rallies. In the chart below, I am using the SPDR Energy ETF (XLE) , […]