BUY - Crude Oil ETF (OOO)
*** GENERAL AVICE ONLY***
Trade Date: 08/11/2023
Recommendation
Entry price: $5.61
Target Price: $6.51 (+16%)
Stop Loss: $5.15 (-8.1%)
Rationale
The Biden administration has flagged $79bl as a point where the US will top up their strategic reserves, we see crude oil here at $77 good value and risk/reward
Adding to this, the middle east situation in Gaza remains unstable and Russia/Ukraine conflict now in its 626 day, reliable global supply is still walking a tightrope.
Chinese trade balance data yesterday was disappointing on the whole, however imports were much higher than expected and the market reaction short sighted as targeted stimulus from the PBOC still being injected into the economy, providing a tailwind for the worlds biggest importer of crude oil
Disclaimer: The recommendation given is general advice only. It does not take into account your personal objectives, financial situation, or specific needs. This information should not be your sole resource when making such decisions. We strongly recommend you to seek the advice of financial, taxation, and legal professionals before finalising any investment decisions.