Oil and Natural Gas: Oil Prices Support At the $86.00 Level
- During the Asian trading session, oil prices found support at the $86.00 level.
- The natural gas price growth stopped yesterday at the $5.80 level.
Oil chart analysis
During the Asian trading session, oil prices found support at the $86.00 level. Then we see a strong impulse that pushes the price up and crosses above the $87.00 level. Today’s high was at the $88.25 level. For now, we see a minor pullback to $87.80 and are trying to consolidate around the $88.00 level. For a bullish option, we need a new breakout above and a new positive consolidation that would continue the price correction.
Potential higher targets are the $89.00 and $90.00 levels. We need negative consolidation and pullbacks below the $87.00 level for a bearish option. After that, the oil price could be found again at the $86.00 support level. If we fail to do so, the price of oil could continue to fall to the next support zones. Potential lower targets are $85.00 and $84.00.
Natural gas chart analysis
The natural gas price growth stopped yesterday at the $5.80 level. During the Asian trading session, the price retreated to the $5.60 level. For now, the price manages to stay at that level, while based on today’s picture, we could expect a further pullback to better support. In that case, we need a continuation of the negative consolidation.
Potential lower targets are the $5.40 and $5.20 levels. For a bullish option, we need a new positive consolidation and price return to the $5.80 level. After that, we need to stay there and try to break above. With a new bullish impulse, the price of gas could continue its recovery. Potential higher targets are the $6.00 and $6.20 levels.
