Oil is testing prior lows from March 2015. While we may get a temporary reprieve from the selloff (see RSI sending oversold condition for a long time), the ultimate picture for oil continues to be one of oversupply. We have Fibonacci price targets set for 36.44 and 29.33.
We see 36.44 being a very realistic target at this point if the prior low is broken.
To sum it up, we may see a dead-cat-bounce effect at these prior lows but this will not automatically trigger a reversal of the selloff.