Michael Binger, senior portfolio manager at Gradient Investments, tells CNBC's "Power Lunch" he expects oil to hold at these levels.
"Oil prices have recovered close to the $50 per barrel area; U.S. production is poised to decline and global demand is increasing, which should keep oil in the $40-$50 range near term," Binger said.
He is playing the recovery by owning stocks in the oil and gas industry, but is being selective. "Oil companies' balance sheets are still stretched [and] limiting access to financing is eliminating new drilling opportunities," Binger said.
WTI is up 78 percent since the lows of February 11.