We have interestingly reached an 86-year peak in oil reserves. This may actually be the end of that trend. Oil prices are causing companies to collapse, and in the Middle East various states have been forced to borrow money and raise taxes. We closed last month at $33.62 and held the Monthly Bearish at $33.55. We are once again flirting with that number closing Friday at $32.78. The low for the month was the week of February 8. Our Weekly Bullish stands at $38.40. Our next key turning point will be April. A daily closing above $33.60 on Monday will be a warning that we may yet see a rally to everyone’s shock and dismay. This would be more geopolitical rather than supply/demand.
