Oil and natural gas: Oil retreating below the $81.00 level
- Yesterday, the price of oil rose to $81.58 for the first time this year.
- Yesterday, the price of natural gas dropped to a new weekly low of $1.62.
Oil chart analysis
Yesterday, the price of oil rose to $81.58 for the first time this year. After that, we stopped at that level and pulled back to the $81.00 level. During the previous Asian trading session, the price managed to maintain in that zone. In the EU session, there was instability on the chart, and the price of oil began to retreat to the $80.50 level. There has been an increase in bearish pressure, and we now expect to continue sliding to the next lower support.
Potential lower targets are the $80.00 and $79.50 levels. The price could find some support in the EMA50 moving average in the zone around the $80.00 level. For a bullish option, we need a positive consolidation and a return to the previous zone around the $81.00 level. By crossing above, we return to the bullish side; after that, we can hope for further recovery. Potential higher targets are the $81.50 and $82.00 levels.
Natural gas chart analysis
Yesterday, the price of natural gas dropped to a new weekly low of $1.62. We stopped there, and very quickly, we saw the initiation of a bullish consolidation up to the $1.75 level. During the previous Asian trading session, the price moved slightly below in the $1.72-$1.74 range. We need an impulse that would move us to $1.76 and thus trigger a bullish consolidation.
We would move above the EMA200 moving average, and it would be quite easy for us to continue the recovery. Potential higher targets are $1.77 and $1.78 levels. For a bearish option to start, we need a price drop below the $1.72 level. With that, we fall to a new daily low and confirm the pressure on the price of natural gas. After that, we can expect a further pullback and a visit to lower levels. Potential lower targets are $1.70 and $1.68 levels.
