Schachter considers many other indicators such as the US Dollar and 10 Year Treasury Yields. “They all play a part of this story,” Schachter warns. “These and several other indicators are all converging into the perfect storm for a sharp and painful plunge in the fourth quarter of 2018. Once that happens the new Energy Bull Market can truly begin.”
He suggests that investors who are already invested in Oil and Gas stocks, remain patient and hold some cash to buy at even cheaper levels. For those not yet invested, he says stay in cash, investigate the companies you are most interested in and wait. “Buy on weakness,” he advises. “Tax-loss selling at year end will provide some table-pounding opportunities.”
The Schachter Energy Report shows one-year targets for 29 covered companies that are significantly higher than today’s prices, and the much higher, five-year Bull Market Peak upside potentials for these stocks as well. Twenty-one of these companies will be presenting at the “Catch the Energy” Conference in Calgary, September 29, 2018.
Josef Schachter, CFA, is the author of the newsletter “Schachter Energy Report” and is a frequent/regular guest on BNN Bloomberg, Michael Campbell’s ‘Money Talks’ radio show, and the World Outlook Financial Conference. For more information about the conference, please see https://www.schachterenergyreport.ca/conference-2018.