We talk about the energy markets quite a bit here at The Options Edge. To our way of thinking, food, energy, and housing are probably the most fundamental goods driving this or any economy. Energy is a key factor in production and transportation. Nothing in a modern economy is produced or transported without energy. As a result, we think a lot about the investment thesis for energy in its own right, and how the price and availability of energy might affect other sectors of the economy like manufacturing, food production, technology, trucking, and airlines.
On Friday, April 20, Carter Braxton Worth discussed energy stocks on Options Action and he has some interesting things to say. We are sympathetic with a great deal of what he had to say, but we have some disagreement at the nuance level. On that basis, one might want to follow his lead. At the same time, one could look at the data and come to a different conclusion. It all depends on one's bias and trading style. We would like to take a moment to look at an alternative way for subscribers to trade the energy sector.