Post by
Carjack on Sep 11, 2024 12:36pm
Nuttal post
Is the worst behind us for energy stocks? Bottoms are found in capitulation...when the last (or 2nd last) towel has been thrown in and stocks approach deeply oversold levels. Yesterday, the RSI (relative strength index) hit its lowest level since oil went negative in March 2020 and is at levels that historically has = a bottom. Fundamentally, we also believe current dividend yields of 5%-8% sustainable at $45-$55WTI offer support. Sentiment has clearly taken a hit, more by the velocity than the magnitude. Reports show aggressive share buybacks...the only positive spin on macro/paper market tantrums like the past several weeks.