FAO Stock geeks: My NIA type pick for the next while

[Pooh]

This is how I loaded up for the coming oil bull market. All numbers are shares not dollars.

51k BGR
35K SND
10k CRC
81K GENGF

50 JAN 2019 $10 Calls CRC
40 DEC 15 $17 Naked Puts CRC
200 JAN 2020 $25 Calls ETE

Will either bust or make a couple million with these holdings.

I consider the CRC as owning 19k shares since I have those calls which are in the money and I'm assuming the $17's will be put to me, which was the plan when I sold them. CRC is the wildcard. If oil stays over $60 BRENT then it goes up bigly. If oil goes to $75+ and stays there for a year or two then CRC is most likely a $100 stock.

So, a little explanation would be helpful, why do you think oil is finally going to do something after the last 2 years of nothingness?! Also, ETE is still paying a nice dividend, why not buy it outright?

Because low prices cures low prices. With oil prices so low there has been no investment in new wells coupled with very high depletion rates in existing wells and you have an eventual problem. The eventual is now. Do you follow the inventory report? Down over 40 million barrels since October, when inventories usually increase. The world has an oil supply problem that is coming due very soon.

Regarding ETE, I don't have the money to buy it outright and still own the other holdings. Those options cost me 20k.