The FlipThought of this as I saw the further-out Dec'22 & Jun'22 6-months spread flipping through the closer Jun'22 & Dec'21 ; the historical examples are given in the chart in green circles.
Seems like oil is looking higher from here as per the indication of the attached chart.
Let us see how this unravels.
Oilspread
oil, cl, trading for Apr 24th 2020I find it interesting that I got many comments on my call to remain short oil. I would like to expand on this concept. First thing to point out is no one asked me how I plan to short or, and what part of the oil complex i am shorting, and additionally is there anything in the sector I am long.
Second part is the price is low and looks attractive to be long, but the question is how do you get long oil at this time as we deal with a very significant contango situation.
Here is my advice, Be very careful!!! and happy to have private chat and even a chat group to discuss the oil structure o complex.
Brent/WTI spread. Brent Oil Could Lose Its Benchmark statusBrent (UKOIL) is on the slippery path as production is falling and this could lead to the drop of it's share and loss of the benchmark status to other crudes, namely WTI or Dubai or Urals.
Triangle is possible model here.
Target minus $10 spread - the WTI (USOIL) becomes more expensive than Brent.