The media is going to start talking about oil as if it only started rallying recently. In reality it has been going up for most of 2014, and it has been stealthily grinding higher since all the way back in 2011. The reason it hasn’t made any headlines over the past few years is it hit $110 in 2011, then corrected sharply and has only slowly been going higher since with a lot of volatility. But above $110 is an area where oil has only been once and that was in the super spike in 2008. The chart of oil looks pretty bullish to me long term. Despite the popular notion that fracking is producing a glut of oil, in reality that oil costs money to produce which is what could be reflected in the rising oil price.
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