This is in the 240D.
I have never done a compression check, but it will start right up even in cold (say >50* for here

) weather without glowing at all.
It has always used a good bit of oil, like a quart every 500-700 miles, and I used to be able to see a puff at high RPM right before I shifted gears (MT).
I just followed my wife home while she was driving it and there was a pretty steady stream of oil smoke coming from the tailpipe. I know it is oil b/c of the the smell.
What are the likely culprits? How do I start diagnosing?