Direxion Daily S&P Oil & Gas Exploration & Production Bull 2X (GUSH)

[Sgreg]

Oil down to $28. Can and probably will go lower but it is crashed now. Oil stocks were already crashed. XOP is almost half the price now then in 2016 when oil was at this price. XOP was about $21 the last time oil was in the 20 handle.

I have almost no stocks. I'm almost all cash and have been since late last year as the low VIX and complacency had me a little concerned. I'm now looking to put at least a little money to work but most of the market is only down 15% so it isn't time yet. When I look at oil and oil stocks however they are down now over 50% so actually oil sector might be getting close to a bottom even though the rest of the market is no where close.

I'm debating on whether to start accumulating GUSH or UWT. XOP as I stated is already a dead horse that's been beat over and over. Then UWT well oil won't stay in the 20s. Months from now it will be 40 again. Problem though is UWT might get broken tomorrow. If oil falls more then 33% then UWT will break. Remember those inverse VIX products in 2018?There is a risk it won't trade anymore. If oil can fall less and not cause UWT to break then I think I'm going to start buying UWT Tuesday once that broken ETF possibility is no longer a risk. If UWT does break then obviously I won't buy that and I think I will start to accumulate GUSH.