Haha. Not goin "all in", but I think I have finally found a good entry point for DUG. I just have this feeling that oil is coming down a ways and so will the XLE. Sorry for the overconfident subject line, but I feel good about this trade.
Im holding this one, I bought this twice, averaged down, missed my next 1/4 buy at $25 when it dropped to $25.41 and bounced back to 30+. Still only have 50% of a position in this. Also in SMN, adding more in that position soon as well.
A rebound back to 130+ and then beyond if it does rally past 135 will cause the DOW to pull back at least 3%. If you want high oil prices expect a pullback in all equities the next time oil breaks out to new highs. You cannot be bullish on stocks with oil at new highs and gas at the pump nearing $4.50 for Regular. Look at WMT, SSS are doing great because the avg consumer is now looking to save money on anything possible due to high energy prices.
If you plot gas prices, oil prices, and DJIA you will see that they have all risen together since 2002.