I think I can say with a good bit of confidence that oil has begun moving down into its daily cycle low, and that higher highs are coming.
I would think at least a 38% retracement would be a minimum target, maybe deeper. This is the time where the fundalmentalists and technical traders will start calling for new lows.
That’s not what is going to happen. Once the correction has run its course, oil will turn and make another leg up. It will break through the 200 DMA. Higher highs coming.
Only cycles analysis can warn you of this kind of fakeout move. The technicians and fundamentalists will get it wrong again, so be ready to buy energy again soon.