JFreak
Buck Fama
- Joined
- Jul 22, 2009
- Messages
- 3,506
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- 3,190
I'm getting out of oil companies. I've owned BP since their little deepwater accident, and the dividends have been good. OTOH, aren't most new cars going to be electric in 10-15 years?
Gas looks like the next coal.
They'll just sell the fossil fuel to power plants instead. Oil isn't going away. Old batteries are going to be an environmental disaster and the trend could/should go back to internal combustion. Carbon isn't poison. Plants need it. But that's the long view. The next couple of decades could certainly hit the oil business. But the big players, XOM, BP, Chevron, RD-Shell, etc. will just transform to other types of energy.
I like Dominion. Those EVs have to be plugged into the power grid. NextEra is another good one if the trend rolls on.
I haven't read up on the energy industry lately. Can/does natural gas be transported over existing petroleum pipelines? Is liquified NG different than just NG? Does is have to be super cold to be transported? The LNG ships and oil tankers look totally different.
Bitcoin is back over $10k again. All these crypto gains have been keeping my portfolio growing rapidly over the past 7 weeks. Very helpful with equities being broadly flat since the start of the new year. Many crypto assets are up 25-100 percent in this time frame.
Too much competition in that sector and they aren't making the profits they thought they would get but it's definitely buy low right now.There's value in the Marijuana sector right now. Just look at the charts for THCX or YOLO (those tickers, lol).
This week, I've gone long with TLRY, ACB, CRON, and OGI. CGC's positive earnings have given this sector enough of a catalyst to start moving bullishly after a very rough 2019. Profit taking levels are the 3.86 Fibonacci retracements from their swing lows. I'll also be purchasing some OTM calls on the ETFs and play the IV to keep the premium.
There should be some contrarian plays with China trade and the Corona-virus. Cruise Lines have surely been getting hammered. Maybe other travel and gambling companies as well. Gambling should be taking off with the legalization of gambling by the SCOTUS 1 or 2 years ago.
Looks like an interesting day in the market. DOW futures expecting an open down 800 points.