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Topic: Get Free Gas by simple correlation on prices. - page 3. (Read 5694 times)

full member
Activity: 182
Merit: 101
Simple research that anyone can do.  Chart the Spot Oil, and the avg. Gas price and overlay.

Basically it is called Time to Market(TTM).  You buy something at a $1 for a future delivery. So when you get the delivery you must charge at least $1.

Unlike electricity, the Oil that we buy has to be shipped to us, refined, and shipped to gas stations. That takes about 30-40 days depending on schedules and delays.

Now you can't take advantage of that fact on a stock exchange because of instantaneous communications (electricity, ie internet) but you can take of advantage of it through the physical product delivery.

And with the shelf life of Non-Ethonal gas at 180 days, and ethanol gas at 90 days. You can even wait for a peak or set margin before you sell.

Currently I am looking into it. I found a 400 Gallon approved container cheep. at 3.63 X 400 = 1448  now a little birdy I know tells me his next purchase is 8 cents more. But a bigger birdy tells me that gas will hit at least a 4.00 average within 60 days. That would be $1600 dollars or a $152 profit. 

But I don't want to make money, I just want to Hedge the gas by buy low, and mitigating the costs while it rises by using my own fuel I purchase when it was lower. Not to mention, I get a built in emergency supply.


You are assuming that gas stations price their gas based on what they paid for it, rather than what the expect to pay for their next shipment.  They have the same information as you.
wb3
member
Activity: 112
Merit: 11
^Check Out^ Isle 3
Simple research that anyone can do.  Chart the Spot Oil, and the avg. Gas price and overlay.

Basically it is called Time to Market(TTM).  You buy something at a $1 for a future delivery. So when you get the delivery you must charge at least $1.

Unlike electricity, the Oil that we buy has to be shipped to us, refined, and shipped to gas stations. That takes about 30-40 days depending on schedules and delays.

Now you can't take advantage of that fact on a stock exchange because of instantaneous communications (electricity, ie internet) but you can take of advantage of it through the physical product delivery.

And with the shelf life of Non-Ethonal gas at 180 days, and ethanol gas at 90 days. You can even wait for a peak or set margin before you sell.

Currently I am looking into it. I found a 400 Gallon approved container cheep. at 3.63 X 400 = 1448  now a little birdy I know tells me his next purchase is 8 cents more. But a bigger birdy tells me that gas will hit at least a 4.00 average within 60 days. That would be $1600 dollars or a $152 profit. 

But I don't want to make money, I just want to Hedge the gas by buy low, and mitigating the costs while it rises by using my own fuel I purchase when it was lower. Not to mention, I get a built in emergency supply.
full member
Activity: 182
Merit: 101
Not sure if this is legal by a Regulation Point of view, but by a Win/Win trade between friends there is nothing wrong with it.

Here it is:

The price of Oil on the market doesn't reach the pump for 30 to 40 days. So here is what you do. Buy a storage tank or tanks for Gasoline, their are appropriate approved containers for sale.


What makes you think this is true?
sr. member
Activity: 322
Merit: 250
Of all the times I have been pulled over in my life, about 6. Police never checked my fuel tank. However, I do know that check points for the big diesel trucks have the tanks checked on a random basis.
Of course, they're the biggest fish.

Quote
Another good method is if you live by the Ocean. Becomes friends with a shrimper. Oh, and have diesel truck or car.  The shrimper can by diesel tax free, and are know to sell it.

Shrimpers are actually a little market place, you can buy diesel, tax free cigarettes, tax free liquor, if they picked up and bails, even some MJ. OH yea, of course they sell shrimp too.  Grin
Neato.
wb3
member
Activity: 112
Merit: 11
^Check Out^ Isle 3
Home heating oil is the same as diesel but, at least where I live, you don't pay as much tax for it as you do at the gas station. However, home heating oil has a dye in it. If an authority discovers fuel with that dye in your vehicle's tank, you're in trouble.

Of all the times I have been pulled over in my life, about 6. Police never checked my fuel tank. However, I do know that check points for the big diesel trucks have the tanks checked on a random basis.

Another good method is if you live by the Ocean. Becomes friends with a shrimper. Oh, and have diesel truck or car.  The shrimper can by diesel tax free, and are know to sell it.

Shrimpers are actually a little market place, you can buy diesel, tax free cigarettes, tax free liquor, if they picked up and bails, even some MJ. OH yea, of course they sell shrimp too.  Grin
legendary
Activity: 1540
Merit: 1002
I think the better / simpler option would be to convince the owner of the pump nearest to you to sell you gas but keep it till you need it. You could go all fancy and arrange for a 'fidelity card' approach so your friends *cough*clients*cough* could go to the pump and just use some of your pre paid fuel.

It wouldn't scale too high, as it would obviously raise suspicions to the fuel provider but it would solve the issue with storage... Say you give a little extra "on the side" to the pump owner and he allows you to keep an inverted tab, and you SMS him "Today the car with such license plate will come in for x gallons".

Of course the POS system they use will probably make this impossible, but maybe there's still a manually operated pump close to you?
wb3
member
Activity: 112
Merit: 11
^Check Out^ Isle 3
The third party I mentioned uses a Petrol truck. Gasoline above and or below storage has the same principles, the LEL, and static. Fill the tank from the bottom up, and a full tank is better than an empty tank.
sr. member
Activity: 322
Merit: 250
Home heating oil is the same as diesel but, at least where I live, you don't pay as much tax for it as you do at the gas station. However, home heating oil has a dye in it. If an authority discovers fuel with that dye in your vehicle's tank, you're in trouble.
legendary
Activity: 3066
Merit: 1147
The revolution will be monetized!
I would think safety is a big consideration with above ground storage.
legendary
Activity: 1330
Merit: 1000
That and you will blow yourself up trying to store and transfer large volumes of petroleum.
member
Activity: 112
Merit: 11
I know you can store diesel for extended periods but what about petrol? I think it has a much shorter shelf life.
I know your talking about short term trading but what if I want to store it for a few months and make a killing  Grin
legendary
Activity: 1330
Merit: 1000
I almost did this with crude oil a few months ago, before all the Libya stuff.  Tanks are expensive though, and cost scales as the cube root of volume.  That's the reason it doesn't happen on a small scale.
wb3
member
Activity: 112
Merit: 11
^Check Out^ Isle 3
Not sure if this is legal by a Regulation Point of view, but by a Win/Win trade between friends there is nothing wrong with it.

Here it is:

The price of Oil on the market doesn't reach the pump for 30 to 40 days. So here is what you do. Buy a storage tank or tanks for Gasoline, their are appropriate approved containers for sale.

Now lets subsidize yourself in Gasoline use.

When Oil goes up on the Spot Market a couple bucks, run to the gas pump and buy as much as you can.

Then wait, until the rise in price at the local market.

Cash in buy selling your gas to your friends cheaper than the open market but more expensive than you bought it.


This idea came from a Mom/Pop Gas station. They are bound by contract to follow the rules of selling and the price at which to sell. But a third party person will buy their supply at the contracted rules, and hold it until the price raises. They then will buy it back from the third party guy for a little more than what they sold it for.  It is a Win/Win.  The can no compete with the big boys, make more of a profit, and still offer the cheapest gas in town.

If they can do it on a larger scale, why can't we do it on a smaller scale?
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