RE:Still short at 32. Overvaluedprouditalian wrote: As I wrote when I shorted at 32, this wojld not hold 30 for long. Oil is not going rebound and the further it goes away from the hedges the more the shares will slide. I see 18 before the end of the year. Get the hell out on any pop is all I can say.
I look at this from a risk reward viewpoint.
Lets say it does go to 18 that is 7 bucks down from now.
Lets say the cut the dividend ( I don't expect it but lets say)
Now the up side is at least a double after weaker hands and companies are all shaken out.
Saudia has realised they too are loosing money.
CPG will be one of the few still standing and will have the production and reserves to make a killing.
It may take 6 months, it may take a year, it may take 5 years, however this is the last of my oil stocks that I would sell.
JMHO