Oil dropped to $104.50 earlier today and then bounced $4 to $108.50 but the sellers have re-taken control in the last hour in a plunge to $103.26. That's a $10.50 decline on the day.
The market is concerned about lockdowns in China curbing demand. OPEC could also signal openness to extra barrels this week or an Iran deal could get done. I'd argue none of those are truly new or unexpected developments but big swings are the state of play in oil at the moment.
I think the chart tells more than the fundamentals. The market is working on consolidating in the $95 to $130 range. Last week it failed to take out the +61.8% retracement of the flush and that points to a better chance of a retest of the bottom of the range.
