BP vs Exxon Mobil — Technical Trade

Not much color to this trade.  The market is incredibly boring at the moment, which means I’ve been patiently waiting for opportunities such as this one. Exxon has performed insanely well both before and after I flagged the value vs growth shift.  It appears that Exxon valuation has matured during the recent run up, adding roughly $100 billion in market cap along the way.  I’m getting long 2 * BP, short 1 * XOM $spread.

Notice that I’m not buying the spread as it falls.  I’m only interested in trading back to the mean.

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