A small $30 correction I would guess. Then when everyone think we'll going back to "normal" prices again it will rise to $160 within a few months.

Here's the part where we do the $10 swings in the downward direction. Let's have some $50 oil predictions from the media, shall we?

I just edited this to add the 20 day moving average as seen in green. Smallpoxgirl you always mention this average and it was support throughout that last consolidation and may be support now before we run up to $150...

Oh and Lowem this gentleman thinks $60 easily sometime in the beginning of next year!!!:
Jul 07--The Outlook for Inflation and the Likelihood of $60 Oil- Hussman Funds I take it he doesn't believe there's a supply and demand problem?

I think I'll go buy an SUV to celebrate!

"With existing technology, the supply of energy from all sources appears to be quite steeply upward-sloping. Even if relatively easily remediable bottlenecks like limited refining capacity are removed over the next 5 to ten years, the social marginal cost of conventional energy production (carbon-based, nuclear, renewable) will rise (even at existing levels of energy production) as existing non-renewable resources are depleted and as the environmental and other external costs of alternative energy sources (solar, wind, wave, tidal, biofuel) become more apparent....

So how high are oil prices likely to go once we get through the cyclical global slowdown that is now under way. Arjun N Murti, a Goldman Sachs expert believes we will soon hit $200 a barrel (up from the current $146 level). The CEO of Gazprom has predicted a $250 barrel of oil before long. Dr. Robert Hirsch, a Senior Energy Advisor at MISI and a consultant in energy, technology, and managemen, says that oil will peak at $500 within the next 3 to 5 years. While your guess is as good as mine (likely better), none of these figures seem outlandish.

Fundamentally, this means that the most effective energy policy (including the most effective energy security policy) is conservation. The only way to encourage conservation is higher prices for the user, that is prices that fully reflect the long-run social marginal cost of energy. We are just beginning to see more realistic prices for energy, even in parts of the world where low-cost energy is seen as a social entitlement.....

If you don’t know who or where the poor are, cash transfers to alleviate poverty are not an option. In that case subsidies targeted at energy sources consumed disproportionately by the poor may be the best that can be done. That would mean, in India, subsidies on kerosine used for home cooking, but not on kerosine used by airlines. It would not mean subsidies on fuel used by cabs, trucks or other vehicles. If a country has electricity or gas metering, a life-line tariff could be created, with a subsistence level of consumption provided free or at very low marginal cost, but with consumption above the subsistence level charged the full long-run marginal social cost (and possibly an extra dollop to pay the subsidy on the subsistence consumption level)...."

]From the "Rumors" section of Tickerforum: