Below Morgan Stanley’s Adam Longson has shared a chart showing how his research team sees the oil story playing out through 2018. Longson and his team outlined 4 specific phases in this recovery: Today — mid 2016: oversupply and oil recession. (Oil teetering between $US45 to $US50.) Q4 2016: initial rebalancing and recovery. (Oil increasing from $US60 to $US65) Early 2017: recovery. (Oil around $US75) 2018: normalization. (Oil around $US85)