More often than not, investors make things to complicated. They can’t wait to buy when the price is high and they avoid everything that’s cheap. We saw this with gold and silver stocks and we see this again today, oil.

The price of oil had one of his biggest bear markets in history. Oil plunged from around $110 until around $25, a level not seen in decades. Meanwhile the price of oil recovered, made higher highs and higher lows. So normally you should react in a way like this:

That’s awesome, now the coast is clear, I’m buying oil again.

But that’s not the way it goes with investors. Investors have a strange peace of mind. They hesitate, they wait, they set themselves on the sidelines. They forget every time again that money isn’t made when things turn normal, the biggest gains come from the moment it goes from very bad to less bad.

There are clear sign things are going from very bad to less bad with oil. Don’t forget ether oil HAS to rise for many counties and oil producers. A normal price range would be between $50 and $80 and today you can buy oil at $40. It’s stil a bargain.

Dan Dicker from OilPrice.com even thinks there’s a good chance oil will hit $100 again within 2 years. And it’s not a guess, it’s made from fundamental research. He thinks oil demand will rise while oil production is set to decline. Especially emerging market will have a big demand for oil.

The best medicine for low oil prices are low oil prices

Supply is falling. OPEC is making arrangements to freeze supply and new shale oil rigs capitulated and crashed. That’s what happens when prices stay low for a long time. Now supply is down and demand is picking up, according Dan Dicker.

According to the International Energy Agency demand for oil will rise 1,2 million barrels a day in 2016 while supply from non-OPEC countries declined by 700.000 barrels in March. That’s the trend Dicker is talking about.

Oil demand will peak between 2030 and 2035, creating a window for one final spike in prices before the fossil fuel begins its inexorable slide to irrelevance amid greater fuel efficiency and more electric vehicles.

We still believe that there could be one more super-cycle in oil before demand peaks in 2030-35, Bernstein – from investment advisory firm Sanford C. Bernstein & Co. – said in its note. Assuming tight oil peaks out before demand does, it could result in another period of supply tightness as OPEC becomes a dominant force in supply, just as it did in the 1970s.

In previous super-cycles in the 1970s and 2000s, inflation-adjusted oil prices rose about tenfold.

So what does this mean for oil stocks?

Investors complain about oil stocks, but in fact that’s a bit strange. Look at the next chart: the dow Jones Oil & Gas index versus oil. The last 5 years oil stocks outperformed oil by 117%. That’s impressive, that’s the bigger picture everybody is missing.

And today oil stocks are breaking out again. If you’re not on board of this train, you’ll be sorry. If you missed the gold and silver train, don’t miss the oil train. Don’t buy when prices are high, buy when prices are still low.