Oil and Natural Gas: oil price again below $80.00
- During the Asian trading session, the price of oil moved in the range of $81.00-$82.00.
- The price of natural gas continues to record new two-month highs, climbing to $7.30.
Oil chart analysis
During the Asian trading session, the price of oil moved in the range of $81.00-$82.00. In the European trading session, we see a strong bearish impulse that lowers the price to the $79.00 level. The current strong bearish impulse could further lower the price of oil. The next target is the $78.00 level of support, and if it does not provide us with satisfactory support, the continuation of the fall is then very possible. Potential lower targets are the $76.00 and $75.00 levels.
For a bullish option, we need a positive consolidation and price return to the $80.00 level. After that, the price could form a new higher low, from which it would start a new bullish impulse. The next target is this morning’s resistance level at the $82.00 level. Potential higher targets are the $83.00 and $84.00 levels.
Natural gas chart analysis
The price of natural gas continues to record new two-month highs, climbing to $7.30. The last time we were at that place was on September 23. The price managed to break above the very strong $7.00-$7.20 resistance zone. For a bullish option, we need a continuation of this positive consolidation. Below we have a resistance area towards the $7.60 level.
Then, we are looking toward the $8.00 level of resistance. For a bearish option, we need a negative consolidation and pullback to the $7.00 support level. A break below would increase the bearish pressure and influence the continuation of the decline in gas prices. Potential lower targets are the $6.80 and $6.60 levels.