The World Still Runs on Oil: Buy the XOM Dip

“Did You Cash In On The Trade Opportunity I Presented Last Monday? (No, It Wasn’t SpaceX)” – MTA Co-Founder Bryan BottarelliThe Strait of Hormuz is closed.

No wait, it’s open.

Just kidding. Closed again.

This seems to be the ever-changing news cycle with each new day.

And look, I get it…

The headlines are exhausting. One morning you wake up to tankers moving freely through the Persian Gulf, and by mid-afternoon some general is banging his war drum and crude spikes $4 a barrel.

Rinse and repeat.

The market hates uncertainty, and right now the oil sector is drowning in it.

However, the geo-political whiplash we’ve seen throughout these last 110 days of the Iran war has created an opportunity to play a pullback in Exxon Mobil (XOM).

That’s the thing about chaos… it creates pricing inefficiencies. And pricing inefficiencies create trades.

Starting with the chart, shares have pulled back off their April high of $170 and are now looking to re-test February support at $135.

That’s a 20% decline for one of the most fundamentally sound energy companies on the planet.

But it’s not because the business broke down. The outside noise is just getting too loud for investors to think straight.

Enter: Opportunity.

Thanks to the volatility within the oil sector, this level could serve as an ideal entry point to get in XOM at a discount.

Because looking ahead, I think XOM is well positioned to reward shareholders sooner rather than later.

Case in point….

Their annual production just hit their highest level in 40 years, which puts them in prime position to supply the world with oil throughout all the Iran war conflicts.

Think about what that actually means: while every other headline screams disruption, Exxon is quietly pumping more oil than it has since the Reagan administration.

That’s not lucky timing… that’s years of capital discipline and strategic investment paying off at exactly the right moment.

And the financial runway ahead is impressive.

Using 2024 levels, Exxon looks to boost annual earnings by $25 billion and cash flow by $35 billion by 2030.

That’s a roadmap built on existing production capacity, ongoing cost reductions from their Pioneer Natural Resources acquisition, and a global demand picture that hasn’t gone anywhere despite the green energy narrative that gets pushed to the top of every headline.

The world still runs on oil, and XOM is one of the best-positioned companies on earth to deliver it.

Add in a dividend that has grown for 41 consecutive years (through recessions, pandemics, and now a Middle East war), and you start to understand why institutional money tends to buy XOM into weakness rather than run from it.

That’s exactly what we should be doing here.

Your Action Plan

Based on the volatility and recent pullback, buying this dip makes a lot of sense.

The $135 support level is your line in the sand. If XOM holds there, this could be a very clean risk/reward setup with meaningful upside back toward prior highs as the Iran situation eventually stabilizes.

Don’t let the Hormuz headlines shake you out of a great long-term trade.

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P.S.Wednesday, June 24th at 2 PM ET, join me, Ryan Fitzwater, and special guest JC Parets LIVE for the “AI Dark Money Summit” to discover why every Magnificent 7 company has collectively moved $30 billion into one breakthrough.

Plus, see why the next 30 days could create opportunities for gains of up to 24x within weeks.

Register for free right now.

This is sure to get lively with both me and JC uncensored!

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