Like the illusion of Wall Street, with its vast and powerful investment banks, now shuttered, China too is an illusion perpetuated by the Globalists that gave us the 15,000 mile Caesar salad, poisoned cat food and lead based paint on babies' pacifiers. Like the illusion that money would come from thin air to always push housing prices higher, China has spent a generation pursuing its illusion. Pursuing an unattainable dream to be like the West, while 6000 years of its carefully shepherded top soil blows into the sea.
Markets always do surprising things on a short-term basis. The 200 day moving average of the oil price is currently around $42 and rising, so if it doesn't fall much below that, the uptrend should still be intact. As far as why individual traders are bidding the price lower, perhaps some of them are just finding out that there is some escess capacity TO cut.
Is this infomation (200 day moving average) on a website that we can check? How do we get this information is we wanted to?
You can play around with the controls to overlap various technical indicators on the same chart, or enter another symbol to look at another stock or index.
Among other things, usually I'll put in the 50dma, 200dma and RSI, these are the more "popular" indicators that people look at. _________________ Live quotes - crude oil, gold and currencies
http://www.post1.net/lowem/page/livequotes
Joined: Oct 12, 2004 Posts: 1647 Location: Davis, California
Posted: Sat Dec 11, 2004 1:57 pm Post subject:
The way oil is made is probably a combination of both methods.
However, for our purposes, either method takes millions of years to produce any apperciable increase in petroleum reserves. And most exploration teams have a very good idea of where petroleum can form and under what conditions.
We are debating a non-issue. Either theory won't save us, simply because thoes processes happen on geological timespans, not human lifetimes. _________________ Joseph Stalin "It is enough that the people know there was an election. The people who cast the votes decide nothing. The people who count the votes decide everything. "
Hasn't anybody considered the possiblity that they are reducing their output next year to hide the fact that they simply cannot maintain the current level of output? (aka Peaking Out) Think about what a tuff time they had this year pumping what they did...
Hasn't anybody considered the possiblity that they are reducing their output next year to hide the fact that they simply cannot maintain the current level of output? (aka Peaking Out) Think about what a tuff time they had this year pumping what they did...
Hasn't anybody considered the possiblity that they are reducing their output next year to hide the fact that they simply cannot maintain the current level of output? (aka Peaking Out) Think about what a tuff time they had this year pumping what they did...
As of Friday, 10 Dec. 2004, at 1PM CST oil futures are dropping substantially. Why is this happening when OPEC just announced a production cut? Anyone know? Thanks in advance.
Shannymara. I had to wait to last Friday to be sure but it was "short selling". I'll try to explain that.
Oil is sold in contracts. Last Friday was the end of the January contract. That means that after that day all trading is stopped and all deliveries have to be allocated.
Say the price of oil is $50 today. Now I think that the price is going to decrease this month. You think that it is going to increase. What I can do then is draw up an agreement. I will sell oil to you at $50 and promise to deliver that oil to you at the end of the month. But I don't have any oil. I just gave you an paper I.O.U. Now suppose that I'm right and the price of oil drops to $46. Then I buy some real oil at the end of the month for $46 and give it to you. That would mean that I made a profit of $4 since you payed me $50. This is a very simplistic description of short selling.
On the other hand you can go "long". If I expect the oil price to rise I can buy oil. I don't really need oil but I expect to sell it again at a higher price. However I have to get rid of these contracts before the end of the trading month because otherwise I might end up with a mammoth-tanker in my backyard.
So the end of the trading month is a very important event. Those who went "long" need to get rid of their contracts and those who went "short" need to cover their short positions.
When oil was at $55 too many people were long. These people had to ged rid of their positions and the price dropped to $47 at the end of the trading month. When oil was at $41 too many people were short and they had to cover their positions at the end of the month. This caused the price increase to $46.
So while the price has moved back and forth $15 dollars not much has really happened in market fundamentals the past two months. It just reflects a shift in the expectations of the speculators.
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