Go long oil for profits. Here's whyProfitfaker said to go short, so that is also a big reason to go long for profits. Fact: profitmaker is always wrong. Long oil for profits
Oil is one geopolitical catastrophe away from blasting off. U.S. Sanctions on Iran could be the ticket to the next leg up in oil. Lifting Sanctions on Iran has been a huge overhang on the price of Oil, and now that they may face harsh sanctions again, this could be huge for oil
Shale oil is increasing in production sure, however investment in shale has fallen dramatically over the past few years. Current long investment coupled with higher production is unsustainable. Currently horizontals which have been shut in since the price of oil crashed are currently being flushed out, hence the spike in U.S. Production over the past few months. Again this is unsustainable. Balance sheets across the U.S. Are constrained and fill face further stress, forcing producers to sell off poor performing assets to correct balance sheets.
Biggest indicator is the strong compliance with OPEC oil cuts. This should be sufficient to balance the market over the next few months. Anyone shorting Oil here is out of their minds. Look at the oil chart, we are setting up for a big leg upward, and as a result profitfaker will lose his shirt.
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