Do The Saudi's Care How Much You Pay For Gas?

Do The Saudi's Care How Much You Pay For Gas?
 
Game theory tells us that when a person (or group) wins, another person's (or group's) loss is equal.
 
That means the net change in actual wealth is zero, or a zero-sum game.
 
When it comes to the Saudis and Americans who pay for gas, it could be considered a zero-sum game.
 
The Organization of Petroleum Exporting Countries (OPEC), which include Saudi Arabia, decided earlier this month to extend last year's agreement on oil production cuts.
 
That means the price of gasoline that you pay is likely to go up.
 

  • Less money in our pockets, but more money for OPEC producers.
 
Crude Oil Bulls Kick Into Gear
The price of New York crude oil futures hit their highest level since July 2015 in late November. They say a picture is worth a thousand words. Take a look at this one below.
 
 
 What Does the Chart Show?
 
New York crude oil futures marked out a classic inverted head and shoulders bottom pattern in recent months. The minimum measured move target projects gains toward $75.00 a barrel.
 
What does all this mean in plain English?
 
  1. You are probably going to be paying for more gasoline at the pump.
  2. The Saudis will enjoy higher oil revenues.
  3. Major multinational energy companies will benefit from the rising price of crude oil.
 
For traders, number 3 is the interesting point and underscores opportunity ahead. At SheCanTrade, I scan stocks every day looking for profitable income-generating options trades.
 
Right now, the energy sector is worth watching because of bullish underlying developments in the crude oil market.
 
Check out the recent gains in SPDR Energy (XLE). It's up 10% since September. What's inside this ETF?
 
  • Exxon Mobil is the top holding in XLE at 23.25%.
  • The remaining top five holdings of XLE include Chevron, Schlumberger, ConocoPhillips and EOG Resources.
 
Oil companies are on the move and could be key companies to monitor and trade in the months ahead.

Take Control of Your Financial Life
 
Take control of your own financial future. Fight back against the zero-sum game of higher gasoline prices, which take valuable dollars and cents out of your own pocketbook.
 
Join me to take advantage of changing conditions and profit with easy-to-understand options trades.
 
            Here's what one SheCanTrade member had to say:
           
I have been trading in the trade room for four months now and love it.
TJ and Sarah have a very laid back approach and have a great handle on
the market. It has been surprising how accurate they have been and been
super frustrating when I was not around to take the trades when they occurred.
I have had no problem making back my monthly fee and it has been money well
spent for sure. Do yourself a favor and try it out!  - Shaun M
 
 
Life just seems to keep getting more expensive. Trading is valuable way for you to augment your income and take control of your financial life.  Wondering how to get started? Check out my free options trading lessons here.
 
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