Direxion Daily XOM Bull 2X Shares

3 politicians hold Exxon during the Iran war, 2 bought before it started, and none have sold

$ExxonMobil(XOM.US)

I find Exxon Mobil very valuable as both a counterbalance to my tech holdings in the portfolio. Although tied to oil, it has a lower beta and yet cushions the portfolio well in tech sell offs.

It serves to diversify away from cash which is the most obvious shelter in a general sell off. As of now, capital is rotating around seeking the best place to maximise returns.

@Captain's Treasure

🌟🌟🌟The simultaneous drop in $Tesla(TSLA.US)and $Alphabet - C(GOOG.US)share price coupled with Brent Crude oil piercing USD 100 signals a brutal macro change.

I would build immediate exposure to $SPDR Energy Select(XLE.US)as they represent the best US Energy giants like $ExxonMobil(XOM.US)and $Chevron(CVX.US)which would benefit from rising oil prices.

I would also pivot to $SPDR FD Consumer Staples(XLP.US)as this ETF serves as the ultimate safe haven equity anchor during periods of high stakes market volatility.

Consumers will cut back on buying tech gadgets and EVs before they stop buying groceries, medicine and household essentials.

XLP is a great defensive Buy as it is the perfect low cost vehicle to generate passive income and shield my capital from geopolitical inflation shocks.

While XLP is not an exciting play for explosive gains, it is a great strategy to protect my capital until the broader macro storm clears.

$ExxonMobil(XOM.US)

I have highlighted this stock as one of those on the other end of the spectrum for my portfolio which is heavy on tech. Call it a hedge if you want but it is just one of those that tend to do well when tech pulls back.

And it has been doing well. Better than tech at least in the last two weeks or so.

However, when tech roared ahead like last night, instead of retreating at what also happens to be its upper resistance line, it breaks above it.

Chevron has done so earlier. So I am not surprised Exxon joined the party. Can it hold above the line now? That will be the tell.

@Captain's Treasure

Rep Jim Himes (D) just disclosed up to $115,000 in stock sells. First trade in 3 years

$ExxonMobil(XOM.US)

Let’s go through XOM’s technicals again especially after the SOH erupted again since my last post on her.

In all honesty, not much has changed to indicate that a rally is on the horizon although there is a set up for it.

Price has settled down off a three wave from the March top of 176.41. It is hovering above 200D MA comfortably and is capped at these levels. I believe it will need a catalyst to rally beyond 152 which looks like strong resistance at this point of time.

@Captain's Treasure

These 3 invested in the same stock, pay attention ✍️

🌟🌟🌟This week, the oil shock is the real portfolio mover. CPI and bank earnings matter but Hormuz shutting is the kind of macro grenade that rewrites everything else.

If Iran truly shuts the Strait of Hormuz, that is 20% of global oil supply suddenly at risk. Oil will spike resulting in transport and consumer sectors sinking. Inflation expectations jump. This may lead to bond yields rising, interest rate cut odds collapsing.

Volatility will spike which may lead broad indices wobbling. Everything gets repriced around the energy shock.

A good ETF to buy is $SPDR Energy Select(XLE.US)which represents the US oil giants like $ExxonMobil(XOM.US) and $Chevron(CVX.US). XLE currently pays 2.85% dividend yield and a low expense ratio of just 0.08%. XLE is up 3.7% last week and 20.6% YTD.

Let's pray for peace in the region and that world leaders choose restraint over escalation.

$ExxonMobil(XOM.US)

As mentioned in a previous post, oil has been looking like its basing and about to bottom. And right on cue, the middle east feud raises its head again. Oil prices rebounded as a result along with oil sensitive energy names such as XOM and CVX.

And as expected, tech takes a hit and retreats. Hence why I feel it is necessary to have oil linked energy names as a hedge in a tech portfolio. They balance out each other in uncertainties and make the portfolio more stable.

@Captain's Treasure

$ExxonMobil(XOM.US)

Another defensive hedge designed to buffer my portfolio, XOM makes up the energy (specific to oil) component with Gold and Silver as the precious metals select.

Also taking a hit after the peace deal firmed up and oil prices turned south, however, XOM has formed a three wave pullback from its peak and has been hovering above its daily 200MA for a few days.

@Bridge Buzz SG

$ExxonMobil(XOM.US)

I use XOM as a defensive hedge for my portfolio which is heavy on tech as part of a barbell strategy. And it has been taking a hit as energy prices retreated on the peace deal whilst tech has marched forward.

However, technically, XOM and oil in general are in a three wave pullback right onto support with XOM’s daily 200MA at 135 thereabouts.

No idea what narrative will lead to oil rallying to new highs but price action more often than not leads narratives.

@Bridge Buzz SG

$ExxonMobil(XOM.US)

With the ongoing middle east uncertainty, it was a defensive decision to add an energy name. It serves two purposes - firstly as a defensive hedge to fit the barbell strategy that I am utilising as well as an asset that has actual physical hard real assets that is easier to assign a value to vs the arbitrary values for the hot AI companies.

Still bullish long term AI but just a bit of cushion instead of just relying on cash as a primary form of hedge.

@Bridge Buzz SG

$ExxonMobil(XOM.US)

As part of the barbell strategy mentioned, energy names make up the other spectrum balancing the high beta tech names along with precious metals and other defensive names. One of the higher quality names chosen is Exxon Mobil which correlates to oil prices and hence provide cushion.

Oil looks to be in a triangular pattern usually seen in second or fourth waves. This one looks more like a fourth which indicates oil might wave up if it clears the upper trend line.

@Bridge Buzz SG

$ExxonMobil(XOM.US)

I believe the market is too hopeful on the US Iran resolution. This has led to the FOMO crowd buying into the hot AI sector leading to a very narrow leadership on low volume. On paper it looks impressive. But in reality, it looks like smart money is happily distributing.

The oil charts are showing compression with bullish divergence despite the cheers. However, even if SOH opens, that will not do much to oil price. The resolution has been baked into the price. I am expecting oil prices to go up hence I am adding this as a defensive strategy.

@Bridge Buzz SG

1/ Monday morning: Trump says deal "largely negotiated." Rubio says "good news within hours." WTI falls 8%. Energy stocks across the board drop 5%.

2/ Monday evening: Iran's Fars agency calls Trump's statement "incomplete and inconsistent with reality."

3/ Tuesday: Trump says deal "isn't even fully negotiated yet."

4/ Underlying blocker, unchanged throughout: Iran wants USD 100 billion in frozen assets released at signing. US says only after the Strait physically reopens. Nobody moved.

5/ The market moved. The deal didn't. 🇮🇷🇺🇸