Zman

Energy Stock Trader: Wednesday Outlook

I'm thinking $55 to $60 oil by 3Q or 4Q - I'm betting on a slow slide towards those levels. If gasoline production ramps up quickly the hit to crude stocks could be supportive of oil near term but I see increasing imports from Opec, - imports #s up as well as anecdotal evidence from the tanker tracker firms and from members of OPEC who are already warnign each other to stay the course on the cuts.

As for natural gas I'd think it bottoms soon near $7, maybe as low as $6 or 6.50. Signals there are mixed with rising onshore but flat to falling offshore production, up LNG very likely, but a drop in Canadian volumes, and probably another year of increased exports to border hugging generation facilities in Mexico.

The short term stuff on the site is due to my primarily options trading audience. My apologies if it offends your sensibilities.

Longer term pieces are kept in a reports section on my site. 90% of the stock specific reports are long recommendations. AXC, END, GST, etc. In fact only one piece there has even the slightest short bent : SJT and that's a yield play were the underlying asset's production is slipping. It was more of a wave off than a short rec.