Tuesday, April 15, 2008

Bookkeeping: Taking Profits in the Energy Patch

TweetThis
It has been an amazing run of late in the oil service names, drillers, and natural resources so I am taking another layer off, anticipating a selloff relatively soon. That said I've been saying that for a few days now and they just keep ticking up. It has been nice to see the deep sea oil drillers FINALLY partake in a rally... they've been the ignored group for much of the past half year. I am cutting back ($4-$6k sells) in the following names as I am starting to get antsy on the duration and magnitude of some of these moves without any pullback. (and yes the underlying fundamentals are clearly fantastic)
  1. Sector oil services: National Oilwell Varco (NOV), Core Laboratories (CLB)
  2. Sector deep sea oil drillers: Atwood Oceanics (ATW), Diamond Offshore (DO)
  3. Sector natural gas: EOG Resources (EOG), Cabot Oil & Gas (COG)
On the flip side of that... in a somewhat related trade (not energy but "commodities" in general) - I am increasing exposure in Ultrashort Basic Material (SMN) to just under 4% of the fund as a "hedge against myself"

Long all names mentioned in fund; long Ultrashort Basic Materials in personal account

Disclaimer: The opinions listed on this blog are for educational purpose only. You should do your own research before making any decisions.
This blog, its affiliates, partners or authors are not responsible or liable for any misstatements and/or losses you might sustain from the content provided.

Copyright @2012 FundMyMutualFund.com