FANG Forecast + Trading Strategies



Bearish<—>Bullish



80% Confidence




Bullish Case: FANG's strong balance sheet, strategic positioning in the Permian Basin, and operational efficiency bolster ongoing growth despite energy market volatility.




Bearish Case: Declining gas prices and insider sales, coupled with stagnant volatility and broader market uncertainties, might hinder price appreciation for FANG.




Potential Outcomes: 30% rise with renewed energy demand; 40% stability amid market neutrality; 30% decline from continued market pressures.




Trading Oracle: Target a short-term bearish strategy using call credit spreads: sell 1 $177.5 strike call, buy 2 $185.0 strike calls. Leverage stable IV and market skepticism. High chance of profit with a positive edge.



January 08, 2025


Diamondback Energy Forecast

FANG        Diamondback Energy











Correlated Assets

Assets that tend to move strongly with FANG



WFRD Forecast + Options Trading Strategies   WFRD  Weatherford International plc - New (0.82)


XOP Forecast + Options Trading Strategies   XOP  SPDR Oil & Gas Exploration and Production (0.79)


CRON Forecast + Options Trading Strategies   CRON  Cronos (0.78)


FCX Forecast + Options Trading Strategies   FCX  Freeport-McMoRan (0.72)


OXY Forecast + Options Trading Strategies   OXY  Occidental Petroleum (0.7)



Uncorrelated Assets

Assets with little price relationship to FANG



LWLG Forecast + Options Trading Strategies   LWLG  Lightwave Logic (-0.0)


BSX Forecast + Options Trading Strategies   BSX  Boston Scientific (-0.0)


VOO Forecast + Options Trading Strategies   VOO  Vanguard S&P 500 (0.0)


KGC Forecast + Options Trading Strategies   KGC  Kinross Gold (0.0)


FLR Forecast + Options Trading Strategies   FLR  Fluor (0.0)



Anticorrelated Assets

Assets that tend to move strongly against FANG



ILMN Forecast + Options Trading Strategies   ILMN  Illumina (-0.66)


ACN Forecast + Options Trading Strategies   ACN  Accenture (-0.66)


GL Forecast + Options Trading Strategies   GL  Globe Life (-0.68)


MCD Forecast + Options Trading Strategies   MCD  McDonald's (-0.71)


VSCO Forecast + Options Trading Strategies   VSCO  Victoria's Secret (-0.74)









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