On a risk:reward basis, sure WTI may seem like it's at a nice area to buy. Yet, I think it is still to early. Crude will likely find support at the longer-dated support in the low $43's per barrel. While I would suggest opening fresh shorts without a pullback, it still may be early to gobble crude .
The implications are still apparent. Supplies are still gluttonous, and shale companies are hurting. WBH Energy has become the first casualty of the oil warfare. I expect more to come, particularly Cheniere (idea to come).
I have been short since $74, and I wouldn't suggest serious upside unless $53.5 is retaken.
I do think that if supplies continue to growth while economic conditions worsen, we could see 2008 lows. The implications of oil at these levels for US producers when considering their leveraged exposure to debt is large. It could cause a rumbling within the economy, which in turn would effect consumption.