No idea if this is the “exact” bottom. I bought a nice chunk of USO today and plan to buy more over the next several weeks/months (unless oil happens to shoot higher from here). I plan to hold for a few years.
If the USO goes to 45 I’ll buy some more, 40 still more, 35 still more. If the USO drops below 30, I’ll stop buying. I’d like to have about 20% of my non-401(k) money in oil before all is said and done. That depends on the price action from here. If USO starts to rise and doesn’t stop, I may not buy anymore.[/quote]
It’s hard to believe I made this post like six days ago when the USO was at 50 and now it’s around 45. That’s too quick of a drop for me to continue with my plan. For now, I’ll stick with the chunk of USO I currently have and probably end up selling it about 25% lower from here as is my custom when I buy a stock.
