The charts do not lie. Oil cracked a four-month low recently, flirting with technical bear market territory in the process.
Back on April 29, West Texas crude futures topped out near $114 a barrel. This morning, they edged back up to $93 — still down over 18% but not quite at the bear market 20% losses oil traders were looking at earlier this month.
At this point, oil has effectively wiped out all of the gains that speculators have made on oil for the year to date.
You can see the trajectory play out in the associated ETF, USO (quote):
With this kind of decline on the tape, expect Brent to break below $110 a barrel, and $100 will quickly follow from there.
This, in turn, should play out in the Brent fund BNO (quote):