Crude Oil Prices - October 13

dan_s · Post by **dan_s** » Mon Oct 13, 2014 1:58 pm

Dan Dicker, an oil analyst, thinks we are very close to the low for oil prices. He does say there is a lot of "panic" selling, which could cause it to move below $85/bbl (where he thinks the fundamentals show strong support). Watch video at link below.

http://www.thestreet.com/story/12911659 ... _ven=YAHOO

He recommends EOG and XEC at the end.

In very early trading (4AM ET) WTI dipped close to $84.10/bbl. Around 11AM it started to move up. A close above $85 would be a good sign.

I've heard that a lot of hedge funds are dumping oil contracts and I've heard that E&P companies are laying on a lot more hedges. Both put pressure on the price. There are a lot of traders holding short positions. As we move closer to the end of October, the shorts must cover. That should help. I agree with Mr. Dicker that OPEC will cut production at their November meeting.