Oil Falls Again: Are We Bottoming?

Saturday, October 10, 2009

Oil prices fell again today as investors continued last week's practice. Crude oil futures fell 2.45 to settle at $39.91 a barrel.

Word on the Pits:

"This is a market that still needs to see proof of demand," said Phil Flynn, senior market analyst with Alaron Trading in Chicago.

"Given crude oil's weakness since OPEC's announcement, it is safe to assume the market is a bit skeptical regarding the group's ability to comply," Schork wrote in his daily publication, The Schork Report

"Large stockpiles of crude throughout the (Organization for Economic Cooperation and Development), falling demand in China and negative refining margins make it difficult to see how such supply-driven initiatives can have a near-term positive effect on crude prices," said Addison Armstrong, director of market research at Tradition Energy.

All the "professionals" are bearish on Oil. Its time to buy. At the very least it will rebound because is very, very, very Oversold.

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