Alex, it is truly interesting to me that when the question comes up it is usually when the market is approaching a decision point. It reinforces the counter intuitiveness that markets create.
Oil is still (obviously) in a powerful bull market. Ironically, we are also within the range of the most important cycle alignment for the energy sector in 2004 (mid Oct - mid Nov)
I would not be surprised to see 56.90/CLZ hit in Oct, with potentially higher prices into the first half of November.
The fact that we are rallying into this time frame suggests that it will be a cycle high. This high could be the most significant one we have seen in a while, giving some relief to energy prices over the ensuing 2-4 months.
Diesel is $2.20 here and it costs me $100 to fill up.
