Oil Market is Oversold
https://www.rigzone.com/news/oil_market_is_oversold-07-jan-2019-157853-article/January 07, 2019
At current levels, the oil market is oversold.
That’s what Amrita Sen, co-founder of Energy Aspects, indicated in a television interview with CNBC on Monday.
“When the [U.S.] waivers were given we thought prices would correct, but let’s say from $85 [per barrel] go down to $75, maybe $70. And yes, with a little bit of a demand wobble even $65 I could see that, but anything below that has definitely been algorithms,†Sen stated in the interview.
“At current levels, based on current fundamentals, the market is oversold but it doesn’t mean that it’s going to correct straight away … it can still take some time,†Sen added.
Back in November, Tamar Essner, energy director at Nasdaq IR Intelligence, indicated in a television interview with Bloomberg that the market was overreacting.
“Oil markets tend to easily overshoot to both the upside and to the downside,†Essner told Bloomberg in the interview on November 14....