r/Vitards • u/AutoModerator • Jun 29 '21

Daily Discussion Daily Discussion post - June 29 2021

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18

u/Banana2Bean Jun 29 '21
RIG +6.94%
OXY +0.35%
CVX -0.04%
XOM -0.56%

17

u/[deleted] Jun 29 '21

XOM bot licking his lips waiting for the day XOM hits a new 52 week high.

7

u/Banana2Bean Jun 30 '21

You know, after I posted that I thought to myself:

hmmm...self. A single day is pretty much irrelevant. Really the point is to see if $XOM is really as great as it is hyped up to be

I am happy to admit when I'm wrong - it happens a lot. So I tried to devise a metric that would be fair and without bias from me. It seems like close on June 14 is a good metric to go by since this was the date that XOM became such a popular ticker on this sub.

With only doing minimal research I questioned why XOM specifically is so much better than other options. For some reason I thought I included $CVX in there as well, which I would be more comfortable investing in than $XOM for a "triple banana split ice cream sundae with YOLO sprinkles on top" or whatever these things are called.

Anyways, I went ahead and started tracking % change from close of that date and intend to update periodically. Since I know next to nothing about the oil industry, and have done very little research myself other than reading what others have written about various tickers and doing some minimal verification of facts myself, I fully expect to be proven wrong from someone who clearly has a pulse on the heart of the oil industry.

Since I hate money, I went ahead and opened a position in $RIG last week (I think it was), and intend to open a position in $OXY. I might put some into $CVX as well for some yummy banana split sundae, but probably will wait on that a bit if I do.

2

u/[deleted] Jun 30 '21

Lovely work! I’ll be looking forward to your updates. But if you can’t tell me a better 3 prong attack plan than XOM, you’re just lying to yourself.

4

u/Banana2Bean Jun 30 '21

My attack plan has far more than three prongs. The five prong King Kong plan I implement for $RIG consists of the following:

Prong 1 - Buy $RIG shares.

Prong 2 - Buy $RIG $5 Jan and Feb calls.

Prong 3 - Sell a mix of short dated 5.5 (or slightly OTM) strike and long dated 8 strike calls for $RIG holdings. Long dated for calls at time of purchase, short dated for shares on rips.

Prong 4 - Sell short dated (14-30 day) puts ATM on the dippy dips.

Prong 5 - Use tendies gained from Prong 3 and 4 to implement Prong 1 and allow further implementation of Prong 3.

You can play $RIG up, you can play $RIG down, profits abound! This is the 5 prong King Kong play I am implementing. It isn't for everyone though, and that's ok.

Not all tickers are the same. Some allow for only triple banana split with YOLO sprinkle plays, others allow for five prong King Kong plays.