/biz/ - Business & Finance

>>18572813
>How to profit from the OIL DIP
simple: you dont.
American Oil is finished.

You are going to lose your money and you are freaking out.

short the petrodollar

buy Russian ruble, iranian rial, chinese yuan

>>18572849
You are probably right, I dont know what the fuck I'm doing.

Do we buy USO now to profit?

>>18573587
USO is the one up high all the way up there, high, high, high as fuck.

>>18573587
US oil is finished.

Why don't they just pump it back into the ground to store it for when prices go back up?

>>18573722
Some oil wells cant do that. In fact they cant even stop pumping up.
So they just keep going. There are no barrels left to store it in though.

>>18572813
I hear Ford stock goes up with low gas prices, tankers i feel are already priced in. Oil companies could get bail out which might drive up price or just fuck everyone.

At this point could maybe just long option call any oil company once it starts to tank but that will take a few days or a week I am thinking.

>>18573722
Why are they still pumping in the first place?

>>18572813
It will NOT stay this low. Once this "Pandemic" is over people are going to be out in cars in droves. Demand will increase, price will go up. What else you gonna drive? Your Tesla?

>>18572813
>just a dip bro

>>18573883
denial: the post.

American Oil companies are FINISHED.

how do we invest in actual barrels?

Why is this happening in the first place? Did Trump say something stupid? (I mean more than usual)

>>18573883
Demand will never increase again. 90% of employees have asked for wfh to continue even after pandemic. Society has evolved past commuting. This will never be done anymore.

>>18573965
being this retarded

>>18573883
We're gonna end up stupidly opening up america in a month or two and oil prices will shoot up, next thing you know everyone gets sickand we end up in lockdown again.

>>18573965
and 90% of employees will still be going into the office. My former job had a GREAT WFH program...after 6 years some nigger came in and scrapped it.

>>18572813
cheap as fuck USO calls for 5/15 and 1/15/21 already up today

WHAT GOD DAMN FUND DO I BUY TO INVEST DIRECTLY IN OIL YOU FUCKING NIGGERS. TELL ME

>>18573915
You forget $147 a barrel oil just 6 years ago.

Carbon neutral by 2021.

Literally every government signed up for cutting emissions to zero. Now that is has actually happened, how can they justify restarting emissions?

Heavy industry is OVER

>>18573681
>>18573915
Trying to hog oil stocks for themselves
There will always be a demand for oil you fucking retards

>>18574063
I bought into USO.

IT'S GOING BACK UP, QUICK, SOMEONE TELL ME WHAT TO BUY

>>18574109
But why hasnt uso fallen after oil dropped like a rock? Is it about to drop too?

>>18574036
So once everyone is dead do you buy?

>>18574136
none of these fucking shitskins will tell me what to buy

>oil down to a dollar
>literally can't make money because oil stocks aren't effected at all
What the actual fuck?

>>18574095
yes but not from America.

>>18572837
>>18573681
>>18573915

You buy these shorts then at $21, mongol.

>>18574063
Here you fuck

What are some good oil stocks/funds bros?

>>18574189
exactly, what the fuck are we supposed to do?

>>18574156
No anon stocks only go up.

>>18574109
USO is really likely to keep dropping to sub $1. Safest bet is to buy the big boys like xom, or at least a different cetf

ONE
NOTHING WRONG WITH ME

>>18574189
>it's priced in

>>18574210
what site is that pajeeto?

How the fuck I buy Oil futures????

>>18574270
ngmi

>>18574270
Robinhood on desktop. Not too complicated

>>18574280
Just buy them

This is an abnormal all time low, could someone explain how to make it back without a war? Cause I really can't see other way out

>>18574189
Oil is a resource not a currency. Companies over drilled oil due to the decrease in demand are selling to highest bid.

USO puts are up 50%
>USO calls are also up 50%

Cool

>$0.80

>>18574447
so you made $0, cool

how the fuck a europoor buy oil?
p[ls

For fucks sake guys, how can companies barely lose value when the very product they sell isn't worth shit no more?

>>18574189
It's not that nobody values it anymore; there's just no fucking place to put current production.

Fill your whole fucking house with 24-pack megarolls of Cottonelle TP, then Walmart starts selling it for a nickel a package. You have no use for it even at that price.

>>18574189
The people who lost money were futures speculators. These companies will hardly be affected

oil is only down 10% retards. first day on futures?

>>18574280
You don't unless you want to get wrecked on margin or have 10,000 barrels of oil show up on your front lawn.

>$0.07

>>18574515
Buy oil. Profit

>>18574621
>have 10,000 barrels of oil show up on your front lawn.
Yes please

>>18574675
yes, but like, where do I put the money?

>>18574756
Give it to me.

Should I buy some relatively cheap OIL $8 calls for Jan 2022 and just forget about it for awhile?

>>18574230
I plan on holding it for at least a year. Was $13 a year ago and really did not start falling till this whole chinese virus hit.

>>18575013
Yeah that's probably a decent idea anon.

Do we get paid to buy in the negative?

>>18573962
Oil is being produced and not used, oil costs money to produce and store. If you're paying to store oil that you can't sell, the oil is worthless to you.

LMAO at the idiots in this thread arguing to STILL buy it

>>18575554
I just want to know which funds/ETFs to buy

>>18574210

>doge

you fucking faggot

>>18575678
Do buy paper buy oil

>>18572813
>Will USO follow oil
holy shit you're retarded

>>18575835
explain

>>18575678
From what I can see, hardly any stocks or ETFs are affected by this. There might be another dip in the coming weeks as demand continues to drop, but many are already buying ETFs in the current "dip" and holding long-term for potential profit.

>>18575835
elaborate

>>18574144
oil isnt worthless, only the may contracts are worthless.
June contracts are still trading at 22 or thereabout.
Am 30% sure about this.

>>18576190
nope 20 now will be $5 by end of day

>>18575835
This is /biz/
Yes lots of people are retarded here.
Explain yourself you faggot.

Oil and correlation to airlines burning oil? Anyone have insights on this?

>>18574679
Barrels not included

>>18576636
This important distinction is exactly why it is offered at 1 cent right now.

>>18576683
Can I offer to use pet bottles?

>>18576959
Aren't they already full with your piss?

>>18573915
>>18574216
ExxonMobil. All the retards in this thread saying American Oil companies are finished don't realize all of the international assets these companies have and even if shale or fracking isn't profitable that's not going to matter in places like Guyana

>>18572813
BUY NATURAL GAS STONKS
Antero resources you niggers

How to profit?

Take delivery in mid May, then burn it

>>18574210
1 share of tendies please

>>18574401
Time. Small companies will bail.

>>18572864
This. And PMs, obviously.

>>18572813
You should have bought SPY puts instead of making this thread.

>>18572813
What the fuck do you mean they are finished?

This is temporary and the demand is still there.

>>18578818
demand has been below supply for years
they were just delaying the inevitable
there's no saving it

>>18575876
>>18576097
>>18576406

USO is literally a bunch of WTI futures contracts

>>18577095
Its barely moved down at all. Will it go down eventually or is it just gonna chill?

>>18574198
You niggers are confusing spot price with futures. This board is overflowing with newcancer noobs and the stench is unbearable.
Shale producers break even at $50 a barrel. They are all going fucking bankrupt right now and their shitty backwater meth riddled redneck states are going to become even more irrelevant. Mutts will be sucking beautiful, cheap Saudi oil forever. In fact there's 14 million barrels being shipped over right now.

>>18574447
>What is volatility

>>18575307
why don't we just use the oil then

>>18580532
>why don't we just use the oil then
How? Everyone is stuck at home.

Most of big oil is not being affected too much because they have a big refining base, and with crude so low and pump prices high, refining is hugely profitable.

Shale producers are all giga fucked though.

Because I'm too much of a pleb to make sense of how to make a profitable fast play here I just copped some SPXU (which is essentially shorting the S&P 500 with 3x leverage for you other plebs). Wish me luck bois.

LONG oil. buy at any price

>>18580761
Because demand is about to explode, right?
There's gonna be more demand than mid-2019
the fucking easter bunny is gonna buy your oil

>>18580686
pump prices in my country is down 20% and dropping every day. about 3/4 is now just tax

>>18576636
what is the real consequence of this? Lets say I get paid to take 10,000 barrels worth of oil, and I'm not able to sell the contract. will someone literally give me a call asking where I want my barrels? and if so, what happens if I tell them i have no where to put it.

>>18580881
They will charge you for the rent of the truck they are using to transport your oil
probably double digits per hour

>>18574063
>>18574144
Its fucking impossinle to buy this shit. USO needs to roll forward the contracts so it will also keep losing money, i.e. selling the current contract at a loss and having to buy the next one which is still priced over $20. I literlaly cant figure out how to profit from this on e in a lifetime event... Do I just short USO instead or wtf do I do

If it's really just a basic case of too much supply with extremely low demand because of corona, how come literally no one predicted it?

It's seems way too simple to be just that

>>18572813
God i don't remember the names but invest in oil tanker ships and oil storage. They are the ones who are getting paid to keep oil under these contracts, and they're going to keep getting paid troughout this oil crisis

>>18580932
you think the there are magic leprechauns in charge immune to the "hiding heads in sand to pretend the problem doesn't exist" strategy?
everyone is equally retarded as the rest of us humans
there was a hope that the production cuts would somehow stabilize the price

>>18579679
So can we make money shorting USO?

>>18580881
couldn't i just use a cut of the profit i made being sold oil to pay for it?

>>18581030
People in 2007 predicted the fucking housing bubble, while this now seems ten times simpler and more obvious than that, if it's really just supply and demand.
Yet literally no one was even speculating on it happening on any similar level

>>18581188
Why weren't you?

>>18580360
Tarifs when?

>>18581211
Because I did not care about any kind of investing in oil so ofcourse I don't follow what's happening with it other than major news, but saw plenty of oil threads happening on here aswell, sure if someone is a regular on this topic would've atleast speculated on it happening?

>>18574542
thats not true
speculators cant buy this easily because its so close to expiry

>>18580360
We all bow down to your intelligence

>>18580626
Why don't we just burn it in our backyard?

>>18572849
Update.
I bought puts with 1.50 strike price at 0.03 and sold them at 0.11. Fees took out a massive chunk so only profited +90%

>>18580881
Better rent your neighbor's swimming pool just in case.

Actually, it's not on a truck but sitting somewhere and on expiry they tell you where you can pick it up. There well be storage and facilities costs until you do. Normally you could do a contract rollover, but with oil running out of places to put it... I don't know, it'll probably be bad...

>>18581337
someone always makes money

>>18574210
Cringe

>>18573587
fuuuuuuuuck no
USO lags behind the price of oil
if you bought USO this week you'd be an idiot

>>18582830
assuming i arrange my own pickup, what if i just dig a whole and burn it, and then don't tell anyone about it? is the epa gonna need some kind of follow up?

>>18576617
Literally supply and demand, brainlet.

Airplane no go bbrrrrr so oil no go glug glug.

>>18574210
you have such little skin in the game its like you shouldnt even comment

>>18581337
by looking at the open interest on the may contract ~5 billion dollars have vanished for one side of the people trading crude. we'll probably read news about a hedgefund going bankrupt in the next days.

>>18574621
>have 10,000 barrels of oil show up on your front lawn.
I rent so nbd lol fuck landlords

Good thing I stockpiled these babies

>>18574191

>>18573916
pretty sure modern barrels are all made of steel.
theres loads of manufacturers

buy tanker stocks

>>18583141
Thats not true but uso still sucks.

>>18573962
We lefty pol now

>>18583212
Unless the contracts keep going down, I still don't think you'd make money on that plan. That's probably criminal charges not just civil. In case you've never lit oil on fire before, people are going to notice that. Even just dumping it is way too noticeable. It's not a contract for oranges we're talking about.

>>18573965
This disregards human nature. Execs get off on the idea of having all their people together in their massive building. A kingdom of serfs and you their lord. Soon as this crisis is over get the fuck out of telestocks. What, you think this tele shit just happened yesterday? ask yourself why its taken them til now to implement it. Answer, they dont want to. How are you going to fuck that cute girl in sales if she never comes to the office?

If humans did what was logical instead of what was best for them personally we'd be on fucking Mars by now.

tl;dr-- when the crisis is over buy fucking oil.

>>18573962
Yea, he said something about sad cuck faggots letting him live rent free in their heads for the next 5 years.

>>18579679
I still don't understand. Can you further simplify? When I buy oil on Robinhood, do I have to supply my delivery address?

>>18583895
RENT

FREE

>>18574051
The puts for 5/15 are also up so what does that tell you

>>18583945
You can't trade futures on Robinhood.

>>18583945
XOM, PE, Shell.

>>18584060
I dont know, anon.
Please spoonfeed me.

>>18584151
I have maybe WTI.
Definitely real risk in USO.

One would think that there are companies that depend on the crude oil as reagent, and those would benefit by this quite a lot.

>>18574039
>americucks just bend and take it
lmaaaao

>>18581237
when you decide that turning the US into a 3rd world country is a good thing

>>18572813
>How to profit from the OIL DIP
Start a war with China

>refineries cant afford costs
>their stock prices will crash
>buy the dip

>>18574210
WOAH THERE BIG DICK RISK HERE

>must be 21 to buy stocks
I'VE HAD IT UP TO FUCKING HERE REEEEEEEEEEEEEEEEEEEEEEEEEEEEE

>>18573962
US didnt cut oil production
US-based crude oil is over demand, price dumps
dumps, dumps
dumps to 0
then dumps below 0
end of America

Okokok, my neighbor - hes a farmer
he has these huge silos, like six of them

can I just get the oil, get the money, and fill the oil into those silos? (they're VERY big)

>OIL IS DEAD

Because the entire military of the world and its population are all going to switch to solar and our aircraft carriers are going to be controlled by a lever you just have to wind up every five minutes. Also , all plastics made from crude oil is going to be outlawed. You fucks have no grasp on reality. Go for a walk.

>>18573783
>can't stop pumping

nigga just pull the plug, wtf? last time I checked, we haven't developed unlimited energy yet (and it's be ironic if we fucking did and used it to extract oil) so just cut it's fucking power supply. nigga what?
>yeah man, my lawn mower just can't shut off. I keep it plugged in at my garage and it keeps me up all fucking night, I wish I could turn it off.

All these financelets don't understand this isn't that big of a deal and is just temporary. The government will buy a lot of oil because they can store up to 75 million barrels.

This is for May contracts only, things are going to start opening up in may, June and July contracts onward will be fine.

Now would be a good time to buy HAL or XOM, both will be up 50% in the next 60 days.

cap this faggots

>>18586270
oil is pressurized underground, like basically an air baloon
once you poke a hole in it, you can't just shut it off, it shoots out of the ground basically
thats why we have offshore borehole disasters. they obviously didnt just keep pumping when shit started hitting the fan

thats one type of oil field
the other is not pressurized, but once you stop pumping the oil, it basically all goes back down like when you stop sucking soda through a straw. takes a lot of effort to get it to run again, so it literally isnt equipped to do it, or extremely expensive & takes months to restart.

>>18586358
>The government will
>>18586358
>store up to 75 million barrels.
they already did that. literally all the storage capacity is exhausted
do you believe they're just THAT stupid and didnt think of it yet?

but we saw China build a hospital in 10 days, they'll surely be able to build a gigantic tank in less

>>18586358
You're guessing. Like every other investor born before you. You're dumb as fuck. Corona virus vaccine nowhere in sight.
>hurr durr the market gonna be booming in July because I like those months and the weather will be nice.


Fuck this dude.

>>18572813
would it be possible to use the money I received from accepting the contracts to just pay someone to dig me a salt cavern like the DOE uses in texas? and then just dump the oil there? I can't find any info on it, but i imagine there's someone out there who could do it legally.

>>18586485
>>18586502
cry more fags

>>18585226
don't you just need to be 18?

>>18586538
>oil is underground for thousands of years
>pump it up, dump it back underground
>HEY THATS VERY ILLEGAL
sad but true

>>185865
Keep LARPing as a successful investor. It's your pretend time so dont let strangers ruin your weird playtime.

>>18586618
seriously though, if the department of energy does it for emergency reserves, surely there is someone out there who'd dig a big hole. Pick up some cheap, shitty land while. if anyone knows a company like that, i'm all ears, cause I can't find it.

It'll climb back up by then, right?

>>18586659
or hell, could I just buy an abandoned fracking site and dump it there?

>>18586659
Do you not understand the strict environmental laws that dictate how oil is manufactured? If you're on a HESS oil rig and you spill a cup of diesel fuel it's a incident report, safety violation and a fine. But most of you twats think you can just dump oil into a hole they dug in the backyard. Oh please someone try this. You would be arrested so fucking fast and fined millions of dolllars. I used to hate alot of the safety rules but now I see why they were made. Because of dumb fucks like yourself. They actually had to make laws because you're not smart enough to survive on your own. Top kek.

>>18586758
Where the fuck have you ever seen a sign,ad,text,book,or any fucking thing that said land is safe to dump oil ? I fucking hate you. I'm seriously pissed at how dumb people are.

>>18586758
If you have enough money to buy an " Abandoned fracking site." Or in non faggot terms ,land for sale , you wouldn't be on 4chan looking for advise on investing from a bunch of losers and has beens.

>>18580930
Yes. Short it.

>>18586832
>>18586860
>>18586926
I like you. Keep doing what you're doing.

>>18573965
Ah yes. The worker. The highest consumer of oil, next to cruise liners, naval ships, and airplanes. Gas yourself.

>>18586832
>But most of you twats think you can just dump oil into a hole they dug in the backyard
I actually thought this when I was a teen and got my first car. I was doing the oil change by myself to learn and thankfully my dad came out and asked me what I planned on doing with the old oil before I had a chance to do anything with it. I said I was just gonna dig a hole and dump it and he freaked out and was like "NO YOU MORON TAKE IT TO JIFFY LUBE"

>>18581758
Crude oil.
It's full of sand and tar.
Terrible to burn.

>>18574516
They just filled up all their storage for free, and price at the pump will go down only a few cents

>>18586665
USO tracks the percentage change from rolling over futures contracts every month. You're retarded

>>18574516
You noobs have no idea how taking a position with a credit works.

>>18586559
yep

>>18586485
>Do you think they are just THAT stupid?
https://www.salon.com/2020/03/27/democrats-block-bailout-for-big-oil-in-coronavirus-stimulus-package_partner/

Do they just roll the barrells over to the plane to put it in..?

>>18583141
I just bought 1000 dollars worth of shares in us oil... how fucked am I?

>>18574063
UCO

>>18572813
Are options the best answer? They seem to be from reading the thread

Will I be fine if I hold USO for like 3 years?

>>18590151
I bought 10k yesterday senpai

>>18572813
you know a K1 tax form costs like 500-1000$ to file right?

>>18590151
You're good.

>>18590151
Hodl

I Bought 500 worth of XOM today. Getting $900 something soon, should I put it all in XOM (most successful company, it’s literally Rockefeller’s standard oil) or somewhere else like RDS?? Please answer bros, I wanna become rich.

>>18582098
Name of stonks pls

>>18573722

based

>>18574063
GUSH

sitting at over 21$ again, hope a lot of u tards got burned hahahahaha

>>18591560
GUSH three weeks ago

>>18590151
How? What is the ticker

>>18572837
unironically this.

saudi arabia can open the tap and flood the market indefinitely; they can drive all north american and european producers out of business and quite honestly that's probably what they're going to do.

>>18574542
>the people who lost money were futures speculators
>speculators' other holdings get liquidated to cover
>totally wont impact anything

Ok buddy.

Anons -
A way to profit in the incredibly short term is to buy oil tanker stocks.
NAT, FRO, DHT

Also, USO and the like are rolling contracts. As far I know, there are no ETFs that operate as CFDs aka the spot price of oil.
They end up cost averaging down. You are betting on oil not falling at all from June onwards. This is not likely.

THIS>>18593247
I don't even mind shilling at this point because my money is already in them, pump my positions sheeple.

Also don't forget STNG

>>18593266
But what about way out in say like September, or next summer? Won't all of these things moon harder than anything ever mooned ever?

Unless you own some huge industrial grade oil tanks you aren't going to profit

>>18586228
No.
You need to be allowed to trade the contracts on CME and take delivery.
Lots of paperwork needed. I doubt they'll agree to your substandard neighbour's silo's.
It's an environmental hazard.
Must be fun working at the CME though, cant imagine the calls they must be getting.

>>18590232
No!
USO is the reason of the crash. They held on to the may contract too long and when they rolled over they ate the difference.
USO is losing money on oil every rollover. 3 years is 36 more rollovers to go. This one was the worst so far though.

>>18592416
>>18592310
GUSH is an overleveraged money drainer, dont talk noobs into GUSH.

>>18593266
Plus you are betting they didnt lost their shirt rolling over their -35$ may contracts for 21$ june contracts.
They did.
USO is going down.
Puts on USO past whenever an audit is due is probably the best way to play this.

>>18592403

>>18592403
Back at 15, dipshit.
And this time, USO is going down with it.

>>18583259
I wish schools taught everything in shitpostese