Chart of the day: Oil freak fall can’t continue

Gas prices in South Orange, N.J., Jan. 7, 2015.
Marty Steinberg | CNBC
Gas prices in South Orange, N.J., Jan. 7, 2015.

At the end of the trading day Tuesday, an exchange-traded fund tracking Brent crude oil fell to 94 percent below its average price for the previous 200 days. That created a once-in-a-lifetime chart that spurred strategist Larry McDonald to urge his clients to go long oil in order to bet on a snapback.

"I've never seen any major asset class 90 percent below its 200-day moving average," McDonald told CNBC.com late Wednesday. "That's three standard deviations."