Oil may stay down for a while, or even go further down and test the lows

Jim Rogers : Whenever you have a major crude collapse like the current one, there has to be a rebound. However, normally the prices test the bottom before rebounding. I am not sure if we have seen the bottom yet.

Normally, you have a big rally, and then somewhere along the line it peters out. Then you have another test of the bottom. I suspect we will do so this time too.

Owing to the collapse in oil prices, inflation everywhere is down. Oil may stay down for a while, or even go further down and test the lows.

Maybe prices will go up by a few more dollars. But by spring this year, we will probably see a new test of the bottom.




Jim Rogers started trading the stock market with $600 in 1968.In 1973 he formed the Quantum Fund with the legendary investor George Soros before retiring, a multi millionaire at the age of 37. Rogers and Soros helped steer the fund to a miraculous 4,200% return over the 10 year span of the fund while the S&P 500 returned just 47%.