Oil and natural gas: Oil is back above $74.00 today
- The oil price fell below $75.00 yesterday, and the decline stopped at the $73.80 level.
- The price of gas rose to $2.40 yesterday.
Oil chart analysis
The oil price fell below $75.00 yesterday, and the decline stopped at the $73.80 level. During the Asian trading session, the price manages to consolidate and return above the $74.00 level. The recovery continues in the European session; we are now at $74.60.
We could soon return to the $75.00 level again. With continued positive consolidation, the oil price could trigger a bullish option. Potential higher targets are the $76.00 and $77.00 levels. We need a negative consolidation and a drop to yesterday’s support level for a bearish option. Potential lower targets are the $73.00 and $72.00 levels.
Natural gas chart analysis
The price of gas rose to $2.40 yesterday. After that, we see a quick pullback to $2.25, where the price gets support and starts a new jump, but now only up to the $2.35 level. The price of gas forms a new lower high there and falls below the $2.30 level with a bearish impulse.
Now we are again looking at $2.25 to see if the price will manage to find support at that level once again. A break below could take us back down to a retest of support at the $2.10 level. The increased pressure could continue to lower the price; the first potential support level is at the $2.00 level.
