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UnknownUnicorn7786231
May 2, 2020 10:08 PM

CPE - Hedged Oil Company positioned to breakout Long

Description

Callon Petroleum Company is an oil bounce play.

I am normally very against this but am short term bullish on this and NAT (tanker company) as far as oil is concerned.

The setup is as follows: They have uniquely hedged themselves with oil swap contracts valued $50+ per barrel. Someone deserves a bonus. This is the highest valued swaps I have heard of recently.

I'd be surprised if this thing doesn't fill the gaps up to $2 before the ER on 5/27.

Hopefully more chances below 0.80 to buy.

Comment

ER has been postponed until next monday, this is most likely the cause of the dip this morning, I recommend if you are buying today get in early on because oil is turning bullish

Comment

Was just asked about an entry point, my trading strategy kinda changed up on me this morning with the delay in ER and with how oil is acting, I am going to start to build my position around 0.75, low 0.70s look shaky territory to me, but will add as I see fit until I establish a position. This is a gift below 0.80. Trade accordingly.

Comment

In @ 0.75

Comment

Forgot to update was out on Tuesday @ 0.83, currently not holding any position here
Comments
matejvendo
Are you The same opinion now ? Oil its decreasing
UnknownUnicorn7786231
@matejvendo, I am sorry I did not see this earlier but complete transparency I did not like the way things were moving along and I sold for ~6% profit on Tuesday. Will look at this again today, but was in it for the potential bounce play last week with oil making a small comeback
baigoya
@kmortimer2 what are you expecting for tomorrow ER?
UnknownUnicorn7786231
@baigoya, I don't know what to expect, I sold out of CPE on the bounce play last week and haven't been looking at it closely at all.
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