Oil and Natural Gas: The price of oil is back above $80.00
- On Friday, the price of oil took a big step from $76.00 to $79.80.
- During the Asian trading session, the gas price fell to $2.50.
Oil chart analysis
On Friday, the price of oil took a big step from $76.00 to $79.80. After that, we see yesterday’s price pullback to $78.00 and the formation of a new higher low from which we launched a new bullish impulse. The price climbs to $80.00 and makes a break above. During the Asian trading session, the price of oil rose to $80.91. Now we have a pullback and pullback to the $80.00 level. For a bearish option, we need a break below; after that, we could expect to see a continuation of the price decline. Potential lower targets are the $79.00 and $78.00 levels. We need a positive consolidation and a jump to the $81.00 level for a bullish option. Then we need a price break above; after that, we could expect a continuation of the recovery. Potential higher targets are the $81.50 and $82.00 levels.
Natural gas chart analysis
During the Asian trading session, the gas price fell to $2.50. For now, we managed to hold above and form a new bottom. The current minor bullish consolidation could trigger another gas price recovery. To begin with, we need a break above the $2.60 level. Then we need to stay above and start the recovery of the gas price with the next impulse. Potential higher targets are the $2.70 and $2.80 levels. We need a passive consolidation and a price break below the $2.50 level for a bearish option. This would cause the price to fall below the previous low, which would mean a further decline to the next lower support. Potential lower targets are the $2.40 and $2.30 levels.