Here we are in the peak of the summer driving season here in the United States and just like clockwork, the price of oil has been on the rise. That is until the past few weeks.

The price of oil fell last week, the third straight week the price of oil has seen a decline.

The last time we saw a three-week losing streak in oil was last fall, when oil fell more than 18 percent from late August through late November.

Despite the fact that oil prices have fallen during the last three weeks, investors have continued to buy oil contracts.

The most recent Commitment of Traders report shows that large speculators are net long 458,969 contracts. That was the second week in a row the group was net long more than 450,000 contracts.

The large speculators had never been long more than 450,000 contracts ever before. They had never been net long more than 400,000 contracts until this past February, so the group continues to add contracts.

I should point out that due to the July 4 holiday, the two latest Commitment of Traders reports are those from June 24 and June 17.

The two biggest questions I have regarding oil are will the large speculators eclipse the 500,000 contract mark and will the selling continue?

The trendline that connects the lows for the last seven months is right at the $103 level. If it should give way, look for the selling to accelerate.