Oil: first leg of the correction is over - BBH

Analysts at Brown Brothers Harriman explained that oil prices rallied before the weekend and it allowed the February light sweet oil futures contract to finish week with a modest 1% gain.

Key Quotes:

"It keeps the saw-tooth pattern intact of advancing in alternating weeks since mid-November.  

It has not closed below $50 a barrel this month and new buying was seen when it tested that area in the second half of last week.

The technical indicators are mixed, and we suspect that the first leg of the correction is over and the bounce between corrective legs will probably fail to take out the recent high near $54.50.  And then another attempt at $50 is likely."