Should I buy oil stocks now?

Question

Seems like a good time to invest in energy. Prices have dropped, and always go up eventually. Or will they go lower?

Answer 1

You should be a little more specific in your choices in the oil sector ... some big oil companies own every part (almost) of their operations....but most oil companies depend on what is called " the oil-service" industry. They are the smaller companies that do all sorts of things from making special piping and equipment, drilling, transporting ,refining, etc.They work under contracts...they get paid the same whether oil is $65.00 or $ 40.00...but if oil is harder to find, deeper to drill for, new wells needed, more to transport, etc....they get more contracts and make more money....And if you know anything about the world oil outlook.....yes, it is getting harder to find and harder to bring in, but the world still wants more and more..
So.... now is a good time to buy " oil service" stocks.
Just a few TS, SLB,NBR,RIG,HP,ETP, and a bunch of tanker stocks that I can't think of right now...

Answer 2

Oil seems to be stuck in a trading range right now. Buy oil stocks when crude dips below $51. Sell when crude hits $56. Keep tight stop losses because eventually oil will break out of it's trading range (I don't have a clue which way it will break out). With crude at around $55 a barrel right now, I would sit on the sidelines until we get a drop below $51.

Answer 3

It depends on what you mean invest. One is stocks in companies that produce oil and the other way is buying futures.

I would recommend the Elliot Wave Theory. It measures indexes. They have an interesting take on oil and investing in it.


Oil sounds like a gloom and doom profit maker. In reality it is a Gloom and Boom profit maker if you invest in the new energy resources entering the market.

Oil is poised to be put out of business like Bethlehem Steel and other giants who no longer exist.

Answer 4

The $50-55 jump seems to be over. Momentum is lost and oil stocks and oil itself may drift sideways on Monday and Tuesday.
Next Wednesday inventory news will break the current impas.
If again they are positive, oil may revisit the $50 level, but if negative -- this will extend the rally (there will be a spectacular firework on display!)

disclaimer: just my opinion, I am not a financial adviser

Answer 5

The good time to invest in energy was in 1998, when oil was $12 a barrel...

Answer 6

Barrels are oil. you're procuring a commodity, purely like procuring coffee or fruitloops or some thing. i do no longer understand this for effective, besides the shown fact that it kind of feels probable that their expenses might selection with the worldwide oil markets. shares (and shares, that are an identical element) are areas of a company that drills the oil and sells it on. They selection with the corporate's management, and its oil possession (how many wells it owns, the place they are, how lots oil is in that section). the two will selection in accordance to wars etc., of direction. There additionally are index (marketplace) shares, which conventional out the fee of distinctive vast companies interior an identical marketplace (so tech shares are all of the vast computing gadget companies, case in point). uncertain if there is an index for oil, besides the shown fact that that is probable. yet incredibly, you will could gain this lots extra study than asking right here, to prevail at any kind of procuring for and promoting -- notably oil procuring and promoting. that's a pastime for kings (and ex-presidents) to play, and that i'm effective they have extremely some hidden products. p.s.: while gaining knowledge of, use sturdy previous formed books. the internet is sturdy for procuring archives, or for speedy articles providing you with a concept approximately some thing. intense, sturdy information inspite of the shown fact that, from a intense e book author remains the thank you to flow in case you prefer to get forward in existence. p.p.s.: somebody is recommending prediction by utilising utilising algorithms. that's how the financial equipment have been given into this mess. the only thank you to evaluate shares is to comprehend them and the markets surrounding them nicely adequate to comprehend what is going to happen. regularly, you will could comprehend it extra appropriate than different people who have not executed their homework nicely adequate, in case you prefer to be previous to the curve.

Answer 7

I think yes. Their share prices are unlikely to go up soon, but the companies are piling up and the share holders will be reaping the benefits. Later on the prices will take off again. Oil is getting scarcer, there is no escape from that.

Answer 8

I sold my chevron stock not long ago
I think the price won't budge much until you hear the barrel going over 60

Most of the oil stocks were at their highest a month ago now they are retreating.

Answer 9

Yes.

Oil prices will go down all the way down to $0.99 USD per gallon eventually.

Answer 10

I would say no.