Are oil prices the only thing to watch when deciding to invest in Exxon, BP etc...?

If you want to keep thing simplistic this is probably the most important thing to watch.


Really I would watch oil futures about a year out which will give you an view into the expected oil prices in the future since any current prices are already factored into the price and what is important is what is expected to happen in the future. You of course may have a different opinion of the future price which is really what you are betting on. If you think prices will be higher than the general concesus and you have confidence in you belief then you would probably want to buy, if you think the price will be lower you may want to sell.Are oil prices the only thing to watch when deciding to invest in Exxon, BP etc...?
While the price of oil is of great importance you should also consider the global market as far as production and storage; what other countries that we deal with are doing with their oil and oil reserves. Many different factors, from political influence to weather play parts in the global oil market and should be considered as well. You may also want to investigate the financial well-being of the company you eventually choose to buy.Are oil prices the only thing to watch when deciding to invest in Exxon, BP etc...?
Yes ... and I don't care what anybody tells you, you only trade oil stocks based on the direction of the futures markets (oil prices) and only in the short term - it is as simple as that.





uh ... 'cause how are oil companies going to make money if oil prices are low? Were you around in the 70's and 80's?
No. There are a tremendous number of factors involved that very few truly understand. Don't play oil stocks for short-term gains. Buy an energy fund(ETF) as a long-term investment.
No you are silly