Shares seem bound to finally see the breakout in terms of price.
If the market is really as tight as the analysts claim, then why is the price not moving much higher?
There is no shortage of oil, it's a timing game being held back for as long as possible to get the best price possible.
For now, they have achieved their objective, showing President Biden firmly who is in charge.
Those blindly chasing the reflation trade tick for tick, better pay heed to physical market fundamentals.
It's important to follow the macro trends like growth over value rotation, or reflation vs. deflation trade.
Upcoming catalyst are likely to put the stock on the radar screen of investors.
It seems Saudi Arabia is just buying time to support oil.
There is a lot of oil that needs to be soaked up before we see higher sustainable prices, and meanwhile the Saudi-U.S. relationship is thicker than crude.
For now, recovering from oversold levels makes sense. But is this the start of a full-blown price recovery?