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Cramer: Oil, a Mysterious Play

 

Here we go again with the oil jam up to take the market higher on a thin day. This process of taking the oils up on a day when oil is down huge is one of the great mysteries of all time, for a couple of reasons:

  1. How in heck can Chevron (CVX Quote), perhaps the most levered to crude of the majors, be up when oil is down, unless it is part of a larger buy program?
  2. How can Exxon (XOM Quote) have a 50% gain in less than seven weeks even though oil's down pretty much every week? This stock wants to break into the $80s.
  3. While we hear of colder weather coming, how can natural gas stocks rally huge on one of the worst skeins of natural gas pricing in a while?
I wish I had the answers to these anomalies. Instead, I retreat to the price action, which tells me that the underlying futures are about to turn and bottom. ...

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Dow Jones S&P 500 NASDAQ 10-Year Note
10,408.47 1,106.63 2,194.13 34.46
Oil *
76.76
UP
19.57
UP
0.65
DOWN
0.22
DOWN
0.37
10 Yr
3.45%
SPDR Gold
111.97
+0.19%
+0.06%
-0.01%
-1.06%
Data delayed 20 minutes

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