Oil gently corrected ...

Oil gently corrected after spurt earlier in the course of trading on Thursday, but the favorable sentiment in stock markets and hopes for a stronger labor market data while the U.S. limit the activity of the sellers. SEB analysts note that the positive signals from the employment report may well support the resumption of growth of "black gold", given the current major concern of investors about the possibility of double downturn in the global economy. Hope the bulls on the development of rehabilitation, meanwhile, support, and some favorable changes in the technical picture, while traders are advised to pay attention to a potential inverted head and shoulders on the daily chart of crude brent, while futures for light sweet crude oil can form a dual basis. However, analysts advise caution bulls, noting that data on demand for oil and petroleum products are still hard to think positive, their prospects of recovery are covered in mist, and prefer to reduce refinery capacity utilization, which involves more than mild interest from their side to buy crude oil. In addition, Citigroup recommends to pay attention to the fact that oil production in the U.S. in recent years gradually increased and has now reached its highest level since 2004.

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