IT COULD GET UGLY TODAY

OIL SELLING OFF (FINALLY)

I got up early this morning just in time to see oil plunge 2 dollars and that is after yesterday's nearly 4 dollar loss. Now if this selling gets really serious later today and it spreads to the other markets it could make for a very messy day for anything energy....and for that matter everything else if the hedge funds really have to start selling. Now maybe i'm getting a little dramatic here but keep an eye on things today. And MLPS are likely to move lower here but this could be a buying opportunity since we know that price for most mlps is not a huge issue.

The MLP index still in this basing phase but notice the XOI index of big oil has room to correct here into those movinig averages which are 3 percent below yesterday's close for the 34 day and 5% below for the 55 day moving average. And the xoi appears to have no problem going below that from time to time.
And the USO has the average down at 97.50 which would equate crude down around 115.

Stock futures are flat right now as of this post and being that its so early, i wll post again before the open.