Oil has tumbled sine breaking $100 on Dec 27. Crude prices are down another 82-cents today to a one-month low of $92.76.
Prices have declined in 6 of the past 7 days with yesterday (a measly 34-cent gain) as the lone exception. Crude still has very little support and indicators aren’t extremely oversold.
It’s the worst stretch of trading for crude since mid-April when prices fell 9% in 5 days. On that occasion crude was slow to bottom out but it retraced all the losses over the subsequent two weeks.
I shorted crude above $100 and covered at $95 but if anything, I would be looking to buy soon — February is the best month for oil, on average, over the past 10 years with an average 4.95% gain and higher prices in 8 of the past 10 years. March is the second-best month.
