Oil and natural gas: oil rose to the weekly open price
- After a long time, the price of oil managed to stop falling to the $76.04 level yesterday.
- The price of natural gas continued to retreat yesterday to a new low of $2.06.
Oil chart analysis
After a long time, the price of oil managed to stop falling to the $76.04 level yesterday. After that, we saw a consolidation in that zone, triggered by two bullish impulses above $78.00. During this morning’s Asian trading session, the price climbed to $78.60, testing that weekly open price. For now, we are not able to move above, but we are retreating to the $78.20 level. In the $78.00 zone, the price will test the EMA 50 moving average and could find its support.
If he succeeds in this, we can expect the initiation of a stronger bullish consolidation. Potential higher targets are $79.00 and $79.50 levels. For a bearish option, we need a negative oil price consolidation below $77.50. That would start a stronger bearish momentum that would continue to depress the price of oil. Potential lower targets are $77.00 and $76.50 levels.
Natural gas chart analysis
The price of natural gas continued to retreat yesterday to a new low of $2.06. During this morning’s Asian session, the movement took place in the $2.06-$2.09 range. The price remains under pressure, and there is a high chance of a pullback to a new lower low. Potential lower targets are $2.04 and $2.02 levels.
If the price of natural gas stabilizes and moves to the $2.10 level, it would be a good indicator that it is slowly turning to the bullish side. After that, we need a positive consolidation as evidence for such a thing and a continuation above the $2.12 level. There, we get support from the EMA 50 moving average, and we can hope for further recovery. Potential higher targets are $2.14 and $2.16 levels.
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