sharksm

Support for Crude at $111?

Having been an energy investor since the 1990's, I have found technical analysis almost useless. Oil is a demand story, and China's lowered demand are solely the result of Bejing slowing down it's industries and driving for the Olympics. China growth is still over 10% and while I don't expect $150 oil, I do expect oil to averaqe over $120 for late 2008 and 2009. My oil investments, including integrated, e&p and service companies made plenty of money on $65.00 oil, let alone $100 plus. Since this present correction, insider buying has increased which indicates to me that the guys who know the business best are still bullish. The biggest threat to the oil companies is Obama, who if elected will be a pawn for Harry Reid & Nancy Pelosi and try and tax the companies out of business. Check out E, the Spanish integrated oil company that yields over 6% and would be immune from American Tax policy. Also Petrobas would be a good choice if the American people are dumb enough to elect Obama. At 74, nothing would surprise me!