Yeah.. market rate now 3.91 (3.90 was suppose to be minor resistance).

I think short term target 3.95, no problem but I think the traders will start covering there - pull back down..
before another next leg up towards kaboom number: 4.00 ....

Those leverage ones are dangerous to play but if you're buy and hold type, don't play those leverage ones unless you know the direction very well from day to day.

Imo, these oil producing companies (the ones inside XLE etf) are actually pretty good companies (with good dividends yield). It's just that their last 2 quarters earnings were ran down because of crude prices.

But, nothing stays down forever.. because Oil is not going to last forever. Just so happen - we got oversupply now in the market - drove prices down (Iran deal - producing 500K-1mln barrel scared the traders even more).
Sooner or later, prices will come back up.

Also, if Oil goes to $40... it will be very interesting.
Many oil companies can shut down (if their cost is more than $40).

Eventho, tapis quality can sell higher (around the brent price) but, I think Malaysia will suffer most pain, I read somewhere offshore rig Malaysia cost is around $45-$50 for producing them.

They (the US shale producers) varies widely.. for new wells, the cost is higher (up to $60/barrel) but for established wells, it drops as low as $20.. or they can just halt the rigs and start again when prices (or demand) resume.
Now, Saudis even lower..(or so they claim). Their cost is like US$10/barrel.

The odd thing is the demand in US hasn't subsided this year. They're still the world biggest users but they've imported a lot less since domestic production has taken over.


Imagine this: Oil now is cheaper than a barrel of processed mineral water.
Might as well close shop and just sell mineral water to earn more money.

I know in US, the state of California... they need water badly. With the severe drought (wild fires and El Nino), water shortage and rationing, bottled water also very expensive. Plenty of demand there. I was at ball game park.. they charge US $5 for bottled water...

Gosh.. was the quarterly missed that bad?
Heck.. even AMZN loses more money but didn't get punished like this.

Very tempted to get back in here but bears are so darn strong now for this stock.

This post has been edited by danmooncake: Aug 7 2015, 10:04 AM

The artificial support from the Chinese gomen makes their market almost un-investable now.
People will sell when it gets to 4500 and buy when it gets to 3500 (govt got a PUT in the market).

No more real investors.. all govt or govt linked companies buy and sell to each other.

It's not... maybe $1-$3 more.. but not that high spread.

I'm shooting for $40.. just because it is a round psych number.

Anyway, I think next week (overall) market may bomb. The Dow already below that 200ma, next is SP500, followed by Nasdaq - the strongest so far held up by a few largest market cap stock like AMZN,GOOG,FB. Heck.. even AAPL already shaky here at 115.
What's another -10 to -15 pts to $100 later, rite? If happens, let's buy!

This post has been edited by danmooncake: Aug 8 2015, 10:06 PM

Waah.. more power to the dollar with the rmb devaluation. More pressure for ringgit to go down even more.
Heck.. I'll wait till 4.1x then before next weekend trip to JB.

I think there is a silver lining to China intentional devaluation of its currency.

Short term, it's bad but longer term, the demand for commodities could come back esp.
oil, copper, iron, etc..

They're trying to be competitive again and trying to speed up their slower than usual economic train.

We've seen them slow down quite a bit for the last few years.. from 12%, 11%, 10%, 9%, 8% and now 7% and possibly dropping down to 6% by next year. I think they're realizing they've put on the brakes too hard trying to cool off the real hot economy that has caused massive inflation and bubble-like property market. Now, they wanting to accelerate again
without jeopardizing their huge manufacturing engines (the core of their growth last 10-20years) - perhaps they didn't want the foreign companies to look elsewhere - like moving more to Vietnam, Cambodia, India where costs are much lower.

This post has been edited by danmooncake: Aug 12 2015, 11:20 AM

Me too... I'm waiting 105.xx i'sh. I'll dive back in.

I tested the AAPL watch... not bad. Tempted to get one but heck,
I'm too cheap for a us400 watch. But, only if AAPL can score me a few Ks, I'll buy one.

Strong reversal day for Dow and SP500. Good for energy too... mini groupers are seeing swimming around already.

I think they're putting more money into US market and taking them out from emerging for every rally.

109 TO 115.. not bad but not good enough yet.
I didn't dip my toes yesterday. I think more sale to come.
Just wanted at least 105-106 level. I'm too cheap here.

But, we still got some at last year price - which was below $100.
Wifey didn't want to sell those..

The energy index ETF (XLE) seems to be holding up...despite crude crashing back to low 42.
but, not sure if it can hang on yet.. if oil does crash below 40 later.

Sometimes, I wonder about AAPL. A lot of people really got very high expectations that it must excel all the time. Despite making billions every year.. its stock price hardly move much and its valuation getting cheaper every quarter with all those cash.

Relative to other tech stocks (like AMZN and NFLX), which most hardly had any positive earnings, their stocks soared like rocket ship.

Both USO and XOP follows Crude price closer than XLE.

Take a look at the leverage side of XOP: GUSH and DRIP
Their ticker names should be inverse of their chart pattern.

Tonight.. let see if how low can EWM..go here.... already 5 years low.
Malaysia corporate earnings all gone for this year.

Some one here was holding SUNE. But, yesterday, got dead cat bounce. Probably tradable low here.
Hold your stop at 12.

Yaah... man. Taking family out for makan and shopping.

Musang King.. here I come!