Oil

We show a chart from 4 years ago but warmly suggest you read the entire blog; (search for Oil)

oil repeat

It is not a pretty count but it seems to have worked in that did first rise above $60/b and now has dropped to about $12/b on it’s way to <$10/b, as per below;

oil apr 20 2020oil futures

This chart includes the overnight move of about $6. Clearly there is now a last 5 wave down sequence from around $65.  Where it stops exactly is hard to tell but the trend line suggest a price well under $10. The CME futures suggest perhaps $7 or $8 per barrel. It really is not that relevant but clearly it is time to throw away “the art of the deal” if you had not already done so. It may be good to wait a little before bottom fishing in the sector as this may take a while to sort out, in any, case stay away from the badly capitalized companies.