Having studied our historical graph one can take a refreshed look at oil at the new $40 plus a barrel .
Is it at a all time low ? Answer no . One could quite feasibly argue for a lower price now the US is a net exporter ,possibly lower than $20 .
As we are now well into the second downdraft one would expect a stabilisation to occur pretty soon . My own estimate looking at the historical graph would be $45 , allowing for costs as a good 25 year buy point . Short termers may be aiming for a little lower , perhaps $39 for Brent Crude .
Trading this week , makes me feel this strong uptick may be short lived . Wait until next year for a slightly lower price of $37 Brent , as your buy point .