OIL BREAKS ABOVE 130

AS MLPS HIT300

Some benchmarks are more important to others...some become so because they are round numbers. We hit 300 yesterday on the mlp index which may or may not be important. Certainly its important to us because 300 at least brings us back to the better times we we're enjoying a year ago.


The weekly mlp chart btw never turned completely bearish through this entire mess and right now is on a buy based on some technicals. So it seems we have the wind at our backs here. We could concievely head to 310 which would put us at the top of the shoulder. The XOI index of course is following the oil price and it has broken out nicely. While crude is in the parabolic mode MLPS will continue to move up in the ride. And when the correction comes (if it ever does) we'll probably get pulled along for that ride as well.

No headlines so far this morning and no upgrades or downgrades on the list yet. Insiders continue to be especially active in Calumet Specialty Products (CLMT) and that probably drove prices up over 16 dollars intraday yesterday. Also we have the ultimate insider in Dan Duncan who continues to buy shares of Energy Transfer Equity (ETE). Bullish action longer term to see insider at the market purchases. Calumet of course remains under strain as refining products continues under price pressure but it remains interesting that refiners have rallied this week. So maybe they are flashing a longer term signal of some sort. Still as far as Calumet is concerned i would wait for a stronger bottom pattern to form. Might be good to ladder in here if we see prices pull back from here back down to the 11-12 area for a chart retest. Speaking of ladders i picked up a few more shares of DUG which is the double short oil and gas ultra fund. Call me nuts but one of these days. Average price at 29.